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United States 

International 

Trade 

Commission 

Annual Report 

1979 
United 

States 

International 

Trade 

Commission 

COMMISSIONERS 

Bill Alberger, Chairman 

Michael J. Calhoun, Vice Chairman 

George M. Moore 

Catherine Bedell 

Paula Stern 

Kenneth R. Mason 

Secretary to the Commission 

Address all communications to 

United States International Trade Commission 

Washington, D.C. 20436 

USITC PUBLICATION 1084 

Photo credits Outside back cover and investigative hearings. Hal Sundstrom; page iii, Teresa Zabala, New York 

Times: Trade Agreements Act of 1979 signing ceremony, 

The White House; and Multilateral Trade Negotiations protocol signing ceremony, Geneva. International Communications Agency 

---- -------------------

For sale by the Superintendent of Documents 

U.S Government Printing Office 

Washington. D.C. 20402 

ii 
Members of the Commission, left to right: Commissioners Michael J. Calhoun, Bill Alberger, Catherine Bedell, Paula Stern, 

and George M. Moore. 

iii 

msssags from the chairman 

During fiscal year 1979, the International Trade Commission was 

engaged in an unusually wide range of activities pertaining to international trade. We look back on the results of this work with a sense of 

pride and accomplishment. 

The Commission's professional staff made a number of contributions to the Multilateral Trade Negotiations, which were concluded in 

Geneva, Switzerland, in 1979. Abroad, our technical experts provided 

specialized on-the-scene assistance to the U.S. negotiating team. At 

home, Congress requested the Commission to analyze the impact and 

possible economic effect of the various tariff-cutting agreements and 

the proposed new codes devised by the United States and its trading 

partners to reduce nontariff barriers to trade. The 24-volume report 

which resulted from this request assisted Congress in its review of the 

proposed trade agreements and the implementing legislation, which 

was passed into law as the Trade Agreements Act of 1979. 

At the same time, the Commission sustained a substantial caseload. We completed 62 investigations, including 26 antidumping and 

19 unfair trade practices cases. Also, we responded to a multitude of 

requests from the President, Members of Congress, and the public. 

This work included in-depth studies on international trade trends, as 

well as expert analysis on commodities and legislative proposals. 

As the fiscal year ended, the Commission began advance preparations for handling one of the heaviest caseloads in its 64-year history. 

This involved the hiring and training of additional professional personnel and the realinement of its organization to carry out the new responsibilities assigned to it by Congress. We also began to make longrange plans to identify future issues for study that will contribute to the 

development of a soundly based international trade policy. 

June 16, 1980 

Catherine Bedell 

Chairman 

v 

Summary of activities . 1 

Introduction . 3 

Public investigations 5 

Trade Agreements Act of 1979 5 

Trade Act of 197 4: 

Advice to the President 5 

Relief from injury caused by import competition . 5 

Litigation arising in connection with section 201 of 

the Trade Act of 197 4 . 7 

Market disruption investigation . 8 

East-West trade statistics monitoring system . 8 

Preliminary investigation under section 603 of the 

TradeActof1974. 8 

Tariff Act of 1930, as amended: 

Countervailing duty investigations. 8 

General investigations . 9 

Unfair trade practices 10 

Litigation arising from investigations conducted 

under section 337 13 

Antidumping Act, 1921, as amended: 

Provisions of the Antidumping Act 14 

Inquiries under section 201(c)(2) of the Antidumping 

Act . 16 

Litigation arising from investigations conducted 

under the Antidumping Act 16 

Other activities: 

Trade agreements program . 25 

Multilateral Trade Negotiations . . 25 

Formal documentation for U.S. tariff offers and 

concessions. 26 

MTN implementing legislation . 27 

Implementation of tariff concessions 27 

Generalized System of Preferences 28 

Executive branch review of Commission reports 28 

Uniform statistical data on imports, exports, and 

production: 

Activities under section 484(e) of the Tariff Act of 

1930. . . . . . . . . . . . . . . . 29 

Harmonized Commodity Code . 29 

Preparation of the Tariff Schedules of the United States 

Annotated 30 

vii 
Other activities-Continued 

Periodic reports on commodities: 

Synthetic organic chemicals . 30 

Annual reports . 30 

Monthly reports 31 

Quantitative determinations 31 

Other periodic reports 32 

Summaries of trade and tariff information 32 

Assistance to the Congress 33 

New York City field office. 33 

Administration and finances: 

Organization of the Commission 35 

Membership of the Commission 35 

Sources of information 36 

Employment and appropriations 36 

Appendix A. Summary of principal activities of the U.S. 

International Trade Commission, fiscal years 1976-79 39 

Appendix B. Reports submitted on proposed legislation. 40 

Appendix C. Key statutes involving the U.S. International 

Trade Commission . 43 

viii 
sun.mmacy of activities 

Investigations Completed 

Title 11, Tariff Act of 1930: 

Sec. 303 countervailing duty investigations .. 

Sec. 332 investigations 

Sec. 337 investigations of alleged unfair practices 

in importation and sale of imported products . 

Antidumping Act, 1921, as amended (sec. 201 (a) 

and 201(c)(2)) 

Trade Act of 197 4: 

Sec. 503 advice on possible trade agreement .. 

Sec. 201 "escape clause" cases. 

Sec. 203 "review" case . 

Sec. 603 preliminary investigation . 

Total 

Other Activities 

Publications issued (in addition to reports on 

investigations): 

Synthetic organic chemicals, production and sales. 

Benzenoid chemicals, imports 

Responses to letters from Members of Congress and 

congressional committees .. 

Import and export transactions analyzed . 

Library transactions: 

Volumes circulated. 

Reference calls 

Reports prepared on proposed legislation 

Reports prepared on specified commodities 

Reports prepared on East-West trade 

Summaries of trade and tariff information 

7 

4 

19 

26 

1 

3 

1 

1 

62 

13 

500 

145,000 

75,000 

10,000 

30 

27 

4 

3 

In the thorough economic scrutiny of the commodities it investigated, the Commission used its research, investigative, determinative, 

and remedial resources to fulfill its role as an independent agency 

with quasi-judicial responsibilities. To get the facts and to insure that 

all sides to an issue are heard, extensive fieldwork was completed, 

and scores of public hearings were held in Washington, D.C. 

As a factfinding agency, the Commission has broad powers to study 

and investigate-

• All factors relating to U.S. foreign trade and its effect on domestic 

production, employment, and consumption; and 

o The competitiveness of U.S. products. 

The Commission's mission is to contribute to the development of 

U.S. international trade policy in a manner that is soundly based and 

as equitable as possible to all concerned. By statute, the Commission 

may act on its own initiative or at the request of the President, the 

Committee on Finance of the U.S. Senate, or the Committee on Ways 

and Means of the U.S. House of Representatives. 

The Commission staff numbers about 370 individuals who represent 

a divergence of professions, including attorneys, economists, investigators, commodity analysts, and data system programers. Their 

primary function is to gather facts and evaluate data to assist the 

Commission in its determinations. 

Commission activities cover a broad range of responsibilities, including0 Investigating eligibility of and recommending appropriate import 

relief for domestic industries. 

0 Taking action against unfair practices in import trade, including 

the importation and sale of items at less than fair value or the importation of items whose production or export was subsidized by 

a foreign government. 

° Conducting studies on trade and tariff issues relating to U.S. 

foreign trade. 

0 Assisting in the development of uniform statistical data to 

achieve comparability of import, export, and domestic production 

statistics. 

The Commission receives opinions and comments on trade and 

policies. It also provides technical and factual information on trade 

matters. Through public hearings and by other means, the views of interested and affected parties such as labor, industry, agriculture, importers, and consumers are represented, considered, and evaluated 

in providing the Commission's technical assistance and advice to the 

President and the Congress. 

3 

The U.S. International Trade Commission is 

authorized by law to investigate all aspects of international trade involving the United States. 

During fiscal 1979, investigations were conducted under provisions of the Trade Agreements Act of 1979, the Trade Act of 197 4, the 

Tariff Act of 1930, as amended, and the Antidumping Act, 1921, as amended. 

TRADE AGREEMENTS ACT OF 19791 

The Commission, following receipt on August 

10, 1979, of a request from the Special Representative for Trade Negotiations, instituted an investigation under section 225 of the Trade 

Agreements Act of 1979 with respect to the dutiable ·status of certain benzenoid chemical imports from Switzerland and the European Community. 

The Trade Agreements Act of 1979 contains a new 

tariff nomenclature for benzenoid chemicals with rates of 

duty adjusted to reflect the adoption by the United States 

of a revised system of customs valuation based principally upon transaction value. Under section 225 of the act, 

the President is authorized to proclaim modification of the 

article descriptions in subparts B and C of part 1 of 

schedule 4 of the Tariff Schedules of the United States in 

order to transfer articles within those provisions. The 

President may not make modification unless the Commission determines that (1) the chemical or product was not 

valued for customs purposes on the basis of American 

selling price upon entry into the United States during a 

period determined by the Commission to be representative, and (2) a rate of duty provided for in such subparts, 

other than the rate of duty that would apply but for this 

section, is more appropriate and representative for such 

chemical or product. 

As the fiscal year ended, the Commission was 

reviewing a list of chemicals of which the United 

States was notified by Switzerland and the European Community with regard to the U.S. customs 

treatment of each chemical during 1976, 1977, 

and 1978. 

'Public Law 96-39, approved July 26, 1979. 

TRADE ACT OF 19742 

Advice to the President 

Section 503' of the Trade Act of 1974 requires that the 

President, from time to time, furnish the Commission with 

lists of articles which may be provided duty-free treatment under provisions of a Generalized System of 

Preferences. The Commission must then advise the President as to the probable economic effect on industries and 

on consumers of granting these preferences for each article listed if imported from countries designated by the 

President as beneficiary developing countries. 

The Special Representative for Trade Negotiations, on March 9, 1979, furnished the Commission with a list of articles to be considered for 

inclusion in the Generalized System of Preferences. The Commission initiated investigations 

Nos. TA-503(a)-5 and 332-104 on March 27, 

1979, and transmitted its report to the President 

on September 10, 1979. 

Relief From Injury Caused by Import 

Competition 

Section 201' of the Trade Act of 197 4 provides means 

whereby relief may be sought for the purpose of facilitating orderly adjustment to import competition. A trade 

association, firm, certified or recognized union, or group 

of workers or other entity which is representative of an industry may file a petition for import relief. When petitioned, the Commission is required to determine whether 

an article is being imported into the United States in such 

increased quantities as to be a substantial cause of 

serious injury, or the threat thereof, to a domestic industry producing an article like or directly competitive 

with the imported article. If the Commission determines in 

the affirmative, it must find the amount of the increase in, 

or imposition of, any duty or restriction on such article 

which is necessary to prevent or remedy such injury, or 

recommend the provisions of adjustment assistance to 

firms, workers, or communities. Under section 203, if the 

'Public Law 93-618, approved Jan. 3, 1975. 

'19 U.S.C. 2463. 

'19 U.S.C. 2251. 

5 
President determines to provide import relief for the industry, he shall {1) proclaim an increase in, or imposition 

of, a duty on the article concerned; (2) proclaim a tariffrate quota; (3) impose or modify a quantitative restriction 

on imports; (4) negotiate an orderly marketing agreement; 

or (5) take any combination of such actions. If the President does not provide relief in the form recommended by 

the Commission, the Congress can, by approval of a concurrent resolution, override the President's action; under 

section 203(c)(2) the President is then required to implement the Commission's recommended relief. 

During fiscal 1979, the Commission completed three investigations under section 201 

within the 6-month statutory time limit. Table 1 

shows information on the investigations completed during the year. 

Three section 201 investigations were in progress at the close of the year, as shown in table 2. 

Section 203(i)5 of the Trade Act of 197 4 in part 

provides that5

19 u.s.c. 2253. 

Upon request of the President or upon its own motion, 

the Commission shall advise the President of its judgment 

as to the probable economic effect on the industry concerned of the extension, reduction, or termination of the 

import relief provided pursuant to this section. 

Upon petition on behalf of the industry concerned, filed 

with the Commission not earlier than the date which is 9 

months, and not later than the date which is 6 months, 

before the date any import relief provided pursuant to this 

section or section 351 or 352 of the Trade Expansion Act 

of 1962 is to terminate by reason of the expiration of the 

initial period therefor, the Commission shall advise the 

President of its judgment as to the probable economic effect on such industry of such termination. 

During fiscal 1979, the Commission, upon 

receipt of a request from the Tool & Stainless 

Steel Industry Committee and the United Steelworkers of America, AFL-CIO, conducted one 

section 203 investigation. The request for the investigation (No. T A-203-5) was received on 

November 30, 1978, and the public hearing was 

held on March 6, 1979. 

Table 1.-lnvestigations completed under sec. 201 of the Trade Act of 1974, fiscal year 1979 

Investigation A1ticle Petitioner 

No. concerned or requester 

TA-201 ·36 Clothespins. (') 

TA-201 ·37 Bolts, nuts. House Committee on Ways 

and large and Means. 

screws of 

iron or 

steel. 

TA-201·38 Certain The Torrington Co. 

machine 

needles. 

Petition Public Finding of 

or request hearing Commission 

Commissioners' 

votes 

filed Affirmative Negative 

Not 

partic· 

ipating 

- 10· 5· 78 Affirmativei Parker 3 

6-9-78 9·11-78 

and 

9·12-78 

8-7-78 11-20-78 

and 

11·21-78 

Affirmritive~ 

Negative 

Alberger' 

Moore3 

Bedell' 

Moore6 1 

Bedell8 1 

Stern' 

Alberger 9 Parker 10 

Parker 

Alberger 

Moore 

Bedell 

Slern 

Stern' 

1 Commission inslttuted the investigation on its own motion on July 27. 1978. 

Commission's 

report 

To the USITC 

President Publication 

No. 

933 

924 

936 

'On Feb. 8. 1979. lhe Presidenl granted relief in the form of an import quola. The global quota will limit lhe importalion ol clolhespins valued al no more lhan $1.70 a 

gross to 2 million gross annually for 3 years. 

'Recommended the imposilion of a 5-year quola of 3.2 million gross on U.S. imports of wood and plastic spring clolhespins. The proposed quofa, effective Jan. 1. 

1979. would be adminislered annually on a global basis and allocaled by import-value brackefs. 

~Commissioner Stern assumed her duties as a CC?mmissioner on Oct. 16. 1978. and was not a Commissioner at the time of the public hearing or during most of the investigative period. 

'On Dec. 22. 1978. lhe President determined lhat import relief in the lorm of 15-percenl la riffs on iron or sleel bolls. nuls, and large screws is in the national economic 

interest and therefore will proclaim this remedy. Under this remedy, tariffs will remain at 15 percent for large screws (including lag screws) and 15 percent plus the current tariff of 0.2 and 0.1 cent per pound, respectively. for bolts and nuts for a 3-year period. after which time they will revert to their current levels (which range from less 

than 1 percent ad valorem equivalent to 12.5 percent). As required by statute. this relief must be implemented within 15 days of this determination. 

6 Finding the domestic industry threatened with serious injury. 

1 Recommended that ad valorem rates of duty be imposed on all the articles at a level of about 20 percent during the first 2 years of import relief and 15. 10, and 10 percent. respectively, for the subsequent 3 years. 

8 Finding serious injury already present. 

9 Recommended no remedy. 

1

° Chairman Parker did not participate in the vote in order to avoid any possibility or appearance of conflict of interest. 

6 
Table 2.-lnvestigations under sec. 201 of the Trade Act 

of 1974 pending on Sept. 30, 1979 

Investigation 

No. Article 

TA-201·39 Nonelectric 

cooking ware. 

TA-201·40 Leather wearing 

apparel. 

TA-201-41 . Certain fish 

Petition or 

request 

received 

5· 4.79 

7·24·79 

Origin 

Petition by General Housewares 

Corp. 

Petition by National Outerwear and 

Sportswear Association, 

Amalgamated Clothing and 

Textile Workers Union, International Ladies' Garment 

Workers Union. and Tanners' 

Council of America. Inc. 

8·20-79 Petition by Fishermen's 

Marketing Association of 

Washington, Inc .. Seattle, 

Wash .. and the Coast Draggers 

Association. Westport. Wash. 

In the Commission's report, 6 which was transmitted to the President on April 24, 1979, Commissioners Moore and Bedell advised the President that, in their opinion, termination of the 

quotas would have a serious adverse economic 

effect on the domestic industry. They said the 

recovery period of less than 3 years has been far 

too short, the industry has not yet sufficiently adjusted to the new conditions of competition, and 

the industry, despite much effort and progress 

during the relief period, needs more time to complete the adjustment process. Vice Chairman 

Alberger and Commissioner Stern advised the 

President that termination of the current quotas 

would have little, if any, adverse impact on U.S. 

producers. They stated that the domestic industry has adjusted successfully to import competition through the implementation of a modernization and rationalization of operations program 

which has made the stainless and alloy tool steel 

industry highly competitive with foreign producers. They also said that the economic health 

of the industry is exceptionally good and comparable with that in 1964, which was the industry's historic peak year. All four Commissioners 

also suggested that if the President should 

decide to extend the quotas, he may wish to (1) 

increase the annual quota amounts, (2) provide 

'Stainless Steel and Alloy Tool Steel, Report to the Presi· 

dent on Investigation No. TA-203·5 . .. , USITC Publication 

968, 1979. 

for an equitable distribution of the quotas for 

countries that do not now have separate country 

quotas, and (3) provide for some solution for 

problems encountered by U.S. consumers of articles under quota that are not produced in the 

United States or are not produced in sufficient 

quantities in the United States to meet the demand. Chairman Joseph 0. Parker did not participate in the investigation in order to avoid any 

possibility or appearance of conflict of interest. 

On June 12, 1979, the President announced his 

decision to extend specialty steel import relief 

for 8 months in the form of temporary quantitative limitations through February 13, 1980. 

Litigation Arising in Connection With 

Section 201 of the Trade Act of 1974 

Litigation begun in 1977 challenging the validity of orderly marketing agreements negotiated 

that year by the President limiting footwear imports from Taiwan and the Republic of Korea 

continued through fiscal 1979. (Sneaker Circus, 

Inc., et al. v. Carter, et al., 2d Cir., Doc. No. 

78-6173.) The Commission was named as a party 

in that action. Plaintiffs alleged, among other 

things, that the Commission did not follow proper procedures in, and did not have a proper 

basis for, determining that "good cause" existed 

within the meaning of section 201 (e) of the Trade 

Act of 197 4 (19 U .S.C. 2251 (e)) for instituting a 

new footwear investigation within 1 year of completing an earlier investigation. The new investigation, which was requested by the Senate Committee on Finance, was begun in October 1976, 

after the Commission found "good cause" to exist. As a result of the investigation, the Commission made a unanimous affirmative determination, and President Carter negotiated the orderly 

marketing agreements with Taiwan and the 

Republic of Korea. 

In September 1978 the U.S. District Court for 

the Eastern District of New York, where the action was first filed, found for the Government on 

the merits, finding, among other things, that the 

Commission had acted properly in deciding the 

good-cause question (457 F. Supp. 771). Plaintiffs appealed the district court decision to the 

7 
U.S. Court of Appeals for the Second Circuit. At 

the request of plaintiffs, the court of appeals 

remanded the matter to the district court in 

January 1979 for the consideration of new information concerning, among other things, the effect on the Taiwan agreement of U.S. recognition of the People's Republic of China. In May 

1979 the district court denied plaintiff's motion 

for relief from judgment, and the case reverted 

to the court of appeals. The case was still pending before the court of appeals at the end of the 

fiscal year; briefs were filed in September 1979. 

Market Disruption Investigation 

Section 406' of the Trade Act of 1974 provides, in part. 

that upon the filing of a petition, upon request of the Pres1· 

dent or the Special Representative for Trade Negotiations, upon resolution of either the Committee on Ways 

and Means of the House of Representatives or the Com· 

mittee on Finance of the Senate, or on its own motion, the 

Commission shall make an investigation to determine, 

with respect to imports of an article which is the product 

of a Communist country, whether market disruption exists 

with respect to an article produced by a domestic in· 

dustry. 

As fiscal 1979 ended, the Commission had 

one investigation pending under section 406 of 

the Trade Act of 197 4, concerning market disruption by imports of anhydrous ammonia from 

the U.S.S.R. (No. TA-406-5). The petition was 

filed on July 11, 1979, by Agrico Chemical Co., 

CF Industries, Inc., Center Plains Industries, Felmont Oil Corp., First Mississippi Corp., W. R. 

Grace & Co., International Minerals & Chemical 

Corp., Mississippi Chemical Corp., Olin Corp., 

Terra Chemicals International, Inc., Union Oil 

Co. of California, Vistron Corp., and Wycon 

Chemical Co. A public hearing was held by the 

Commission in Washington, D.C., on August 

29-31, 1979. 

East-West Trade Statistics Monitoring 

System 

8 

Section 4108 of the Trade Act of 1974 requires the 

Commission to establish and maintain a program to 

7 19 u.s.c. 2436. 

8 19 u.s.c. 2440. 

monitor trade between the United States and the nonmarket economy countries, and to publish a detailed sum· 

mary of the data collected under this program not less 

frequently than once every calendar quarter. 

The Commission submitted four reports on 

East-West trade to the Congress and the EastWest Foreign Trade Board in fiscal 1979 pursuant to section 410 of the Trade Act of 197 4, as 

follows: 

1. 16th Quarterly Report to the Congress and the East· 

West Foreign Trade Board on Trade Between the 

United States and the Nonmarket Economy Countries 

During July-September 1978 (December 1978, USITC 

Publication 934). 

2. 17th Quarterly Report to the Congress and the EastWest Foreign Trade Board on Trade Between the 

United States and the Nonmarket Economy Countries 

During 1978 (March 1979, USITC Publication 965). 

3. 18th Quarterly Report to the Congress and the EastWest Foreign Trade Board on Trade Between the 

United States and the Nonmarket Economy Countries 

During January-March 1979 (June 1979, USITC 

Publication 988). 

4. 19th Quarterly Report to the Congress and the EastWest Foreign Trade Board on Trade Between the 

United States and the Nonmarket Economy Countries 

During April-June 1979 (September 1979, USITC 

Publication 1005). 

Preliminary Investigation Under Section 6039 

of the Trade Act of 197 4 

On November 9, 1978, the Commission instituted on its own motion a preliminary investigation (No. 603-TA-4) of unfair acts and practices 

of Connecticut Valley Arms, Inc., in the importation of Spanish firearm components. Subsequently, the company entered into a consent 

order agreement which directed it to cease and 

desist from labeling and advertising its "Mountain Rifle" and "Mountain Pistol" as "Made in 

the U.S.A." until such time as the articles are 

substantially manufactured in the United States. 

TARIFF ACT OF 1930, AS AMENDED 

Countervailing Duty Investigations 

Section 303' 0 of the Tariff Act of 1930, as 

amended, provides that9 19 U.S.C. 2482. 1019 U.S.C. 1303. 
Whenever any country, dependency, colony, province, 

or other political subdivision of government, person, partnership, association, cartel, or corporation, shall pay or 

bestow, directly or indirectly, any bounty or grant upon 

the manufacture or production or export of any article or 

merchandise manufactured or produced in such country, 

dependency, colony, province, or other political subdivision of government, then upon the importation of such article or merchandise into the United States, whether the 

same shall be imported directly from the country of 

production or otherwise. and whether such article or 

merchandise is imported in the same condition as when 

exported from the country of production or has been 

changed in condition by remanufacture or otherwise, 

there shall be levied and paid, in all such cases, in addition to any duties otherwise imposed, a duty equal to the 

net amount of such bounty or grant, however the same be 

paid or bestowed. 

In the case of any imported article or merchandise 

which is free of duty, duties may be imposed under this 

section only if there is an affirmative determination by the 

Commission under subsection (b)(1}; except that such a 

determination shall not be required unless a determination of injury is required by the international obligations of 

the United States. 

During fiscal 1979, the Commission instituted 

and concluded seven investigations under section 303. They are summarized in table 3. 

General Investigations 

The Tariff Act of 1930 empowers the Commission to investigate and report on many aspects 

of U.S. foreign trade. Studies made under section 332 of the act are usually broader in scope 

and focus than other statutory investigations 

conducted by the Commission. 

Section 33i 1 of the Tariff Act of 1930 sets 

forth the Commission's authority to investigate, 

among other thingsThe administration and fiscal and industrial effects of the 

customs laws of this country; 

The relationships between rates of duty on raw materials 

and finished or partly finished products; 

The effects of ad valorem and specific duties and of compound (specific and ad valorem) duties; 

All questions relative to the arrangement of schedules 

and classification of articles in the several schedules 

of the customs law; 

The operation of customs laws. including their relation to 

the Federal revenues and their effect upon the industries and labor of the country; 

The tariff relations between the United States and foreign 

countries, commercial treaties, preferential provisions, 

and economic alliances; 

"19 U.S.C. 1332. 

Table 3.-Jnvestigations completed under sec. 303(b) of the Tariff Act of 1930, fiscal year 1979 

Commissioners' Commission's 

votes report 

Investigation Article concerned Advice Public Finding of 

No. received hearing Commission Affirmative Negative Not To Secretary USITC 

from partici- ot Publication 

Treasury pa ting Treasury No. 

303-TA·4 and 5 . Yarns of wool from Uruguay 11-22-78 1- 9.79 Negative Parker 2-12-79 940 

and Brazil. Afberger 

Moore 

Bedell 

Stern 

303·TA-6 and 7 Certain leather wearing 11·22·78 1· 9-79 Negative Parker Alberger 2-22-79 948 

apparel from Colombia and Bedell Moore 

Brazil. Stern 

303-TA·8 . Gloves and glove linings of 11·22·78 1- 9.79 Negative Parker 2-16-79 941 

fur on the skin from Brazil. Alberger 

Moore 

Bedell 

Stern 

303-TA-9 Certain fish and certain 1- 9-79 2·27-79 Negative Parker 4- 9.79 966 

shellfish from Canada. Afberger 

Moore 

Bedell 

Stern 

303-TA-10 01eoresins from India. 4. 4-79 5·22-79 Negative Parker Alberger 7- 5-79 989 

Moore 

Bedell 

Slern 

9 
The effect of export bounties and preferential transportation rates; 

The volume of importations compared with domestic production and consumption; and 

Conditions, causes, and effects relating to competition of 

foreign industries with those of the United States. 

The Commission is required to make such reports as 

may be requested by the President, the House Committee 

on Ways and Means, the Senate Committee on Finance, 

or either House of Congress concerning such matters. 

During fiscal 1979, four investigations under 

section 332 of the Tariff Act of 1930 were completed by the Commission, as shown in table 4. 

The 12 investigations which were in progress at 

the close of fiscal 1979 are summarized in table 

5. The Commission initiated two research studies in fiscal 1979 under the authority of section 

332: International Technology Transfer: A 

Review of Related Legal Issues (USITC Publication 935) was issued in January 1979 and a 

research study on import trends in TSUS items 

806.30 and 807.00 was pending as the fiscal 

year ended. 

Unfair Trade Practices 

Section 33712 of the Tariff Act of 1930 declares 

unlawful unfair methods of competition and unfair acts in 

the importation of articles into the United States, or in 

their sale by the owner, importer, consignee, or agent of 

"19 U.S.C. 1337. 

either. the effect or tendency of which is to destroy or 

substantially injure an industry, efficiently and economically operated, in the United States, or to prevent the 

establishment of such an industry, or to restrain or 

monopolize trade and commerce in the United States. It 

authorizes the Commission to investigate alleged violations of this section of the act. If the Commission determines that there is a violation of section 337, it has the 

power to issue an order excluding imports from entry into 

the United States and/or a cease and desist order, sub· 

ject to disapproval by the President for policy reasons 

within 60 days of the Commission's issuance of its find· 

ing. Proceedings come within the provisions of the Administrative Procedure Act. There is a statutory time limit 

of 12 months (18 months for more complicated cases) in 

these investigations. 

Under the Tariff Act of 1930, as amended by 

the Trade Act of 197 4, section 337 cases under 

Commission investigation must be adjudicated 

in conformity with the formal notice and hearing 

provisions of the Administrative Procedure Act 

(5 U.S.C. 551). The presiding officer, who in most 

cases is one of two Commission Administrative 

Law Judges, conducts the hearing and renders a 

written recommended determination or decision, including findings of fact and conclusions 

of law on all contested issues, on the basis of the 

record in each case. In the performance of his or 

her adjudicative functions under the Administrative Procedure Act and consistent with the Commission's Rules of Practice and Procedure, the 

presiding officer holds prehearing conferences, 

issues subpoenas, rules on the evidence, and 

generally regulates the course of the hearing in 

Table 4.-lnvestigations completed under sec. 332 of the Tariff Act of 1930, fiscal year 1979 

USITC Publication 

Investigation Subject Origin 

No. No. Date 

332-87 Conditions al competition in the Western U.S. steel market between 

domestic and foreign steel products. 

Motion olthe Commission 951 (Interim) March 1979 

1004 (Final) September 1979 

332-92 Baseline study of !he telept1one switching equipment industry. Request trom the Subcommittee on 946 February 1979' 

332·101 Agreements being negotiated at the Multilateral Trade Negotiations in 

Geneva. 

Trade ot the House Committee 

on Ways and Means. 

Request from the Senate 

Committee on Finance and the 

House Committee on Ways and 

Means 

332-104 and President's list of articles which may be designated as eligible articles for Request from the Special 

TA503(a)·5. purposes of ttie Generalized System of Preferences. Representative for Trade 

Negotiations. 

'Submitted to ttie Subcommittee on Trade of the House Committee on Ways and Means. January 1979 (in confidence). 

(') 

(') 

? Submil!ed 10 the Senate Comrnil!ee on Finance and the House Committee on Ways and Means. June 1979 (in confidence): certain portions of the report were re· 

leased and published by the Senate Committee on Finance in August 1979. 

'Submitted to the Special Representative for Trade Negotiations. September 1979 (in conlidence) 

10 
accordance with the strict statutory time limits 

prescribed in section 337 proceedings. 

Section 337 cases typically involve complex 

patent infringement and antitrust-e.g., predatory pricing-issues relating to alleged unfair 

acts or methods of competition incidental to the 

importation of articles into the United States or 

their sale, the effect or tendency of which is to 

destroy or substantially injure an industry, efficiently and economically operated, in the United 

States, or to prevent the establishment of such 

an industry, or to restrain or monopolize trade 

and commerce in the United States. Final Commission decisions in these cases, which adopt, 

modify, or reverse the presiding officer's recommended determinations, are subject to disapproval within 60 days by the President for policy 

reasons and are thereafter appealable to the 

U.S. Court of Customs and Patent Appeals. 

During fiscal 1979, the Commission concluded 19 investigations under section 337, 

which are summarized in table 6. The 15 investigations pending on September 30, 1979, are 

summarized in table 7. 

Table 5.-lnvestigations under sec. 332 of the Tariff Act of 1930 pending on Sept. 30, 1979 

Investigation 

No. Subject Origin 

332· 73 Formulation of an international commodity code Sec. 608(c)(1) ot the Trade Act of 

of 1974. 

332·84 Quarterly statistical reports providing certain information on canned and Request from the President 

332-91 

332-93 

332·94 

332·95 

332-96 

332-97 

332·102 

332·103 

332-105 

332-106 

frozen mu.shrooms. 

United States exports to the Soviet Union: past trends, recent 

developments, and future prospects. 

Annual and quarterly statistical reports providing certain information on 

nonrubber footwear. 

Annual and quarterly statistical reports providing certain information on 

stainless steel and alloy tool steel. 

Annual and quarterly statistical reports providing certain information on 

color television receivers. 

Report on consumption of watches and watch movements. or modules. 

Report on consumption of broom corn brooms 

Competitive factors influencing world trade in integrated circuits. 

Motion of the Commission 

Request from the President 

(Presidential Proclamation 4510). 

Request from the President 

(Presidential Proclamation 4445). 

Request from ttie President 

(Presidential Proclamation 4511). 

Public Law 89-805 and the Tarilf 

Schedules of the United States. 

Public Law 89-241 and Executive 

Order 11377. 

Request from the Subcommittee on 

International Trade of the 

Committee on Finance and the 

Subcommillee on International 

Finance of the Committee on 

Banking, Housing, and Urban 

Affairs. United States Senate. 

Quarterly and annual surveys of certain bolts. nuts, and large screws of iron Request from the President 

or steel. (Presidential Proclamation 4632). 

Casein and its impact on the domestic dairy industry Request from the House Committee 

on Ways and Means. 

Identification of chemicals lor new tarill nomenclature lor certain benzenoid Request from the Special 

chemicals. Representative tor Trade 

Negotiations. 

USITC Publication 

No. 

931 

952 

978 

998 

929 

950 

980 

981 

997 

927 

942 

960 

961 

973 

996 

925 

939 

962 

971 

995 

967 

963 

979 

Date 

November 1978 

March 1979 

May 1979 

August 1979 

November 1978 

March 1979 

May 1979 

May 1979 

August 1979 

November 1978 

February 1979 

March 1979 

March 1979 

May 1979 

August 1979 

November 1978 

February 1979 

March 1979 

May 1979 

August 1979 

March 1979 

April 1979 

March 1979 

May 1979 

1000 August 1979 

11 
Table 6.-lnvestigations completed under sec. 337 of the Tariff Act of 1930, fiscal year 1979 

Article 

concerned 

Doxycycline 

Certain skateboards and 

platforms therefor. 

Certain luggage products 

Monumental wood windows 

Complainant 

Pfizer. Inc .. New York, N.Y. 

Richard L. Stevenson d.b.a. 

Makaha International, 

Los Angeles. Calif. 

Airway Industries. Inc .. Ellwood City, Pa. 

Wrand Industries. Inc .. Chester, Pa 

Complaint 

filed 

4·13·78: 

4·21·78 

(amendment) 

10· 6-77: 

10·25·77 

(amendment) 

10·28·77: 

11·11 ·77 

(amendment) 

1· 3·78 

Certain electric slow cookers. Rival Manufacturing Co .. Kansas City, Mo. 12-20-77; 

Certain centrifugal trash 

pumps. 

Certain roller units 

Certain combination locks 

4. 6·78 

(amendment) 

Hale Fire Pump Co .. Conshohocken. Pa. 1· 9·78 

Presto Lock Co .. division of Walter Kidde 1·12· 78 

& Co .. Inc., Elmwood Park, N.J. 

Presto Lock Co .. division of Walter 1·12· 78 

Kidde & Co .. Inc .. Elmwood Park, N.J. 

Certain flexible loam sandals. Tiddies. Inc .. Pasadena. Tex. 1·18·78 

Alternating pressure pads 

Certain attache cases 

Gaymar Industries. Inc .. Orchard Park. 

N.Y .. and Medisearch PR. Inc .. 

Guayama. P.R. 

Samsonite Corp., Denver. Colo. 

Certain synthetic gemstones. Queensbury Opal Co .. Lid .. 

Beechwood. Ohio. 

1·23·78 

1·30·78 

2· 9·78: 

3· 8·78 

(amendment) 

Date of 

publication 

of notice in 

Federal 

Register 

and No. 

5· 9·74, 

337·TA·3' 

11·11·77, 

337·TA·37 

11·30·77, 

337-TA·39 

2· 9·78, 

337·TA-40 

2· 9·78, 

337·TA·42 

2·14·78, 

337·TA·43 

2·14·78, 

337·TA-44 

2·16·78, 

337-TA·45 

2·17·78, 

337·TA·47 

2·23·78, 

337-TA·48 

3· 7·78, 

337·TA·49 

3· 17-78, 

337·TA-50 

Certain cigarette holders Spoon Ring Co .. Los Angeles, Calif 2·21·78: 3·29·78, 

3· 8·78, 337·TA·51 

Certain swivel hooks 

and mounting brackets. 

Certain multicellular 

plastic film. 

Coats & Clark. Inc .. Stamford. Conn. 

Sealed Air Corp .. Fair Lawn. N.J. 

3·21-78, 

and 

3·22·78 

(amendments) 

5· 9·78: 

6· 1-78 

(amendment) 

5·12·78 

6·14·78, 

337·TA·53 

6·29·78, 

337·TA·54 

Certain novelty glasses Howw Manufacturing, Inc .. and 

Plus Four. Inc .. Carol Stream, Ill. 

5·25·78: 7·11·78, 

6·14·78 337·TA-55 

(amendment) 

Certain thermometer 

sheath packages. 

Steridyne Corp., Riviera Beach. Fla. 6· 7·78 7·25·78, 

337·TA-56 

Certain cattle whips Stockmer's Inc. Lawton. Iowa 7. 7·78 8· 9·78, 

Certain labricated steel plate Steel Plate Fabricators Association. 8· 7.73 

products from Japan. Hinsdale. Ill. 

'Suspended on Aug. 13. 1975. and reactivated on Feb. 21. 1978. 

2 The President took no action: exclusion order became final on Jan. 1. 1979. 

3 The President took no action: exclusion order became tinal on Apr. 16. 1979. 

• Tl1e President took no aclion: exclusion order became final on Apr. 22. 1979. 

5 Settlement agreement. 

•The President took no action: exclusion order became final on Aug. 29. 1979. 

1 The President took no action: exclusion order became final on Sept. 10, 1979. 

•The President took no action: exclusion order became final on Sept. 25. 1979. 

12 

337-TA·57 

9·15·78, 

337·TA-58 

Public 

hearing 

Finding and 

remedy of 

Commission 

9·23·74 Violation: exclusion 

order. 

10·10·78 Noviolation 

5· 5·78 Violation: exclusion 

and order. 2 

9·20·78 

No violation: 

terminated. 

Violation: exclusion 

order. 

12· 13· 78 No violation 

11·29·78 Violation: exclusion 

order. 3 

12· 1·78 Noviolation 

Violation: exclusion 

order.• 

Terminated: no present 

violation. 5 

2· 1-78 No violation: terminated. 

No violation: terminated.~ 

2·21-78 No violation: terminated. 

No violation: terminated.~ 

5· 17-79 Violation: exclusion 

order. 6 

6· 14· 79 Violation: exclusion 

order. 1 

6·28·79 Violation: exclusion 

order. 8 

Terminated 

No violation 

Date orders USITC 

issued Publication 

No. 

4·12·79 964 

11·13·78 926 

11·30·78 932 

1· 8·79 

8· g.79 994 

2·14·79 943 

2·14·79 944 

2·16·79 945 

2·21·79 947 

2·23·79 

3· 7.79 955 

3·20·79 957 

3·29·79 959 

6·14·79 983 

6·29·79 987 

7·11·79 991 

7·25·79 992 

8· g.79 993 

1·24·79 
Table ?.-Investigations under sec. 337 of the Tariff Act of 1930 pending on Sept. 30, 1979 

Article 

concerned 

Complainant Complainl 

filed 

Dale of publication 

of notice in 

Federal Register 

and No. 

Public 

hearing 

Certain plastic fastener assemblies. Dennison Manufacturing Co., Framingham, Mass. 6·30·77 8·11-77, 

33HA·36 

Certain apparatus for the continuous 

production of copper rod. 

Pump top insulated containers 

Certain automatic crankpin grinders 

Certain compact cyclotrons with a 

pre·septum. 

Certain rotary scraping tools 

Soulhwire Co., Carrollton, Ga. 

Aladdin Industries, Inc .. Nashville, Tenn. 

Landis Tool Co .. Waynesboro. Pa. 

Cyclotron Corp., Berkeley. Calif. 

. Thompson Tool Co., Inc .. Norwalk. Conn. 

Certain precision resistor chips Vishay Intertechnology, Inc .. Malvern. Pa. 

Certain high-voltage circuit interrupters Westinghouse Electric Corp., Pillsburgh, Pa. 

and components thereof. 

4·11·78 

9·25·78: 

10· 6·78 

(amendment) 

11·15·78: 

11·29·78 

and 

12· 1·78 

(amendments) 

11·20·78 

12· 5·78: 

12·21·78 

and 

1· 3.79 

(amendments) 

12·15·78 

5·22·78, 

33HA·52 

11· 9·78, 

33HA·59 

12·15·78, 

33HA·60 

12·28·78, 

337·TA·61 

1·10·79. 

33HA·62 

1·17·79, 

33HA·63' 

3·28·79, 

337·TA·64' 

9·25·79 

Certain precision resistor chips Societe Francaise de L'Electro·Resistance, Nice. France 

2·16·79: 

3· 9.79 

(amendment) 

3·30·79: 

4·16·79 

(amendment) 

6· 1·79. 

337·TA·65' 

Certain plastic· molding apparatus and I. P. Container Corp., Paterson, N.J. 

components thereof. 

5·10·79, 

337·TA·66 

Certain inclined· field acceleration lubes High Voltage Engineering Corp., Burling Ion, Mass. 

and components thereof. 

4· 5·79: 

4·20·79 

(amendment) 

5·17·79: 

6· 1·79 

(amendment) 

6·27·79. 

33HA·67 

Certain surveying devices Gammon Reel. Inc., San Francisco, Calif. 7. 5·79. 

33HA68 

Certain airtight cast·iron stoves Jolul, Inc., Oslo, Norway: Krislia Associates. Portland, Maine, 

and Jotul Stove Dealers of the United Slates. 

5·17·79: 

6· 4.79 

(amendment) 

6·23·79; 

6·14·79 

(amendment) 

7·12·79, 

33HA·69 

Certain coat hanger rings International Coat Hanger Manufacturing Co .. Garden Grove. 6· 6·79: 

6·25·79 

(amendment) 

7·19·79 

7·18·79, 

33HA70 

Certain anaerobic impregnating 

compositions and components 

therefor. 

Calif. 

Loctite Corp., Newington, Conn. 8·31·79, 

337·TA·71 

, The Administrative Law Judge, pursuant to the authority delegated lo her by the Commission on May 1, 1979. consolidated investigations Nos. 337-TA-63 and 

337·TA·65. 

2 Suspended on Oct. 4, 1979, until conclusion of the Patent and Trademark Oflice reissue proceeding. 

Litigation Arising From Investigations 

Conducted Under Section 337 

On January 12, 1979, Richard L. Stevenson, 

complainant in investigation No. 337-TA-37 (Certain Skateboards and Platforms Therefor), appealed to the U.S. Court of Customs and Patent 

Appeals the Commission's determination that 

there was no violation of section 337 in the importation or sale of certain skateboards in the 

United States.· The Commission had found that 

the patent at issue in the investigation was invalid. On December 20, 1979, the court reversed 

the Commission's determination of no violation 

and remanded the case to the Commission for 

action consistent with its opinion. 

On April 16, 1979, Hale Fire Pump Co., a complainant in investigation No. 337-TA-43 (Certain 

!,entrifugal Trash Pumps), appealed the Commission's determination that a patent in issue 

13 
had not been infringed and that there was ho violation of section 337. The U.S. Court of Customs 

and Patent Appeals had scheduled briefing and 

oral argument by the close of the fiscal year. 

On May 10, 1979, Refractarios Monterrey S.A., 

a respondent in investigation No. 337-TA-41 

(Certain Ceramic Tile Setters), appealed to the 

U.S. Court of Customs and Patent Appeals the 

Commission's refusal to review a Commission 

Administrative Law Judge's order that certain 

evidentiary matters should remain confidential 

under a protective order. Both the Commission 

and Ferro Corp., complainant in the Commission's investiga,tion, moved to dismiss the appeal for lack of subject-matter jurisdiction. At the 

end of the fiscal year, these motions were pending before the court. 

Two appeals were filed with the U.S. Court of 

Customs and Patent Appeals in investigation No. 

337-TA-52 (Certain Apparatus for the Continuous 

Production of Copper Rod). Southwire Co., complainant in the investigatiori,. appealed the Commission's March 29, 1979; summary determination and partial termination with regard to three 

patents the Commission f9und to be licensed to 

Western Electric Co. (Appeal No. 79-25, filed 

May 29, 1979). Southwire also appealed the 

Commission's June 20, 1979, summary determination and partial termination with regard to 

one other patent that the. Commission found to 

be licensed to Western Electric Co. (Appeal No. 

79-31, filed Aug. 16, 1979). At the end of the 

fiscal year, both appeals were still pending. 

On August 27, 1979, Sealed Air Corp., complainant in investigation No. 337-TA-54 (Certain 

Multicellular Plastic Film), appealed to the U.S. 

Court of Customs and Patent Appeals the Commission's determination that respondent Tong 

Seae Industrial Co., Ltd., a foreign manufacturer 

and exporter of multicellular plastic film, was not 

in violation of section.337. The Commission had 

found that the process used by Tong Seae to 

r:nanufacture multicellular plastic film. abroad 

would not, if practiced in the United States, infringe complainant's . process patent. On September 10, 1979, Tong Seae and Polybubble, 

Inc., another respondent in the Commission's inve_stigation, filed a second appeal arising out of 

~he_ Commission's determination in the multicellular, plastic film case. The Tong SeaelPoly14 

bubble appeal alleged thatthe Commission had 

erred in refusing to find the patent in controversy 

invalid. Both appeals were pending before the 

court at the end of the fiscal year. 

Astra-Sjuco, AB, Medline Industries, and Caring International Division of Medline Industries 

appealed from the adverse determination and 

order of the Commission in investigation No. 

337-TA-56 (Certain Thermometer Sheath Packages), issued July 25, 1979. The appeal, AstraSjuco, AB, et al. v. United States International 

Trade Commission and Steridyne Corporation, 

No. 80-3, filed October 12, 1979, was pending at 

the close of the fiscal year. 

ANTIDUMPING ACT, 1921, AS AMENDED 

Provisions of the Antidumping Act 

Section 201 (a);1-of'the Antidumping Act, 1921, p-rovides 

that whenever the Secretary of the Treasury advises the 

Commission that a class or kind of foreign merchandise is 

being, or is likely to be, sold in the United States or elsewhere at less than its fair value, the Commission shall 

determine within 3 months whether an industry. in the 

United States is being or is likely to be injured, or is prevented from being established, by reason of the importation of such merchandise. At the conclusion of its investi-

_gation, the Commission notifies the Secretary of the 

Treasury of its determination. If the Commission determines in the affirmative, the Secretary of the Treasury 

issues a finding of dumping, and the described imports 

become subject to special dumping duties. 

During fiscal 1979, the Commission completed 20 investigations under section 201 (a) of 

the Antidumping Act. The Commission's deter111inations were affi rma!ive in .15 cas.es 14 and 

negative in 5 cases. The investigations are summarized in table 8. 

There were five investigations pending as the 

fiscal year ended. On August 7, 1979, the Comm is s ion i n st it u t e d -i n vest i g·a ti on s N o s . 

AA1921-206, 207, 208, and 209 (Titanium Dioxide From B~lgium, France, the. United Kingdom, and the Federal Republic'of Germany). On 

"19 u:s.c. 160 et seq 

"Under the ·Antidumping Act, decisions in which the Commissioners voting are evenly diyided in their findings, are 

deemed t.o.be in the affirmative.· 
Table 8.-Antidumping investigations completed in fiscal year 1979 

Commissioners' votes Commission's report 

Investigation Advice Public Finding of 

No. Article conceriied received hearing Commission Affirmative Negative Nol To Secrelary USITC 

from part1ci- of Treasury Publication 

Treasury paling No. 

AA192l·li\5 , Nylon yarn from France 7·18-78 8-29-78 Negalive Parker 10-18-78 922 

Alberger 

Moore 

Bedell 

AA192l-l87 Molorcycles from Japan 8- 3-78 9-28-78 Negalive Parker Stern1 11- 3-78 923 

and ·Alberger 

9-29-78 Moore 

Bedell 

AA1921-188 sieel wire for preslressed 8-22·78 10- 3-78 Affirmative Parker Stern2 11-22-78 928 

concrete from Japan. Alberger 

Moore 

Bedell 

AA~921-189 Certain steel wire nails from 11- 1-78 12-14-78 Negalive Alberger Parker3 2- J.79 937 

Canada. Moore 

' ' Bedell 

Slern 

AA1921-190 Rayon staple fiber from France 11-13·78 1- 4-79 Affirmative Parker. Alberger 2-13-79 938 

and 191. and Finland. and Moore Stern5 

1- 5-79 Bedell 

Stern• 

·AA192'1-i92 ·Silicon metal from Canada. 12- 5-78 1-23-79 Negative Parker Alberger 3- 5-79 --954 

Moore 

Bedell 

Stern 

AA1921-193 Bicycle tires and tubes from 12-26-78 2- 8-79 Affirmative Parker6 3-26-79 958 

the Republic of Korea. Alberger' 

Moore6 

Bedell' 

Stern6 

AA1921-194. Perchloroethylene from 1-30-79 3-13-79 Affirmative Parker Alberger 4-30-79 969 

195, and 196. Belgium, France. and Italy. Moore Stern 

Bedell 

AA1921-197 Carbon steel plate from 2-12-79 4- 3-79 Affirmative Moore Alberger Parker3 5-14-79 970 

Taiwan. Bedell Stern 

AA1921-198. Sugar from Belgium, France. 2-16-79 4-10-79 Affirmative Parker 5-16-79 972 

199, and 200. and West Germany. Alberger 

Moore 

Bedell 

Stern 

AA1921-201 Rayon staple fiber from Italy 2-22-79 4- 5-79 Affirmative Parker Alberger 5-22-79 976 

Moore Stern 

Bedell 

AA1921-202 Methyl alcohol from Canada 3-29-79 5-15-79 Affirmative Parker Alberger 6-29-79 986 

and Moore Stern 

5-16-79 Bedell 

AA1921-203 Carbon sleel plate from Poland. 4-17-79 5-24-79 Negative Alberger Parker3 6-18-79 984 

Moore 

Bedell 

Stern 

AA1921-204 Kraft condenser paper from 5-30-79 7-24-79 Affirmative Parker 8-31-79 999 

and 205. Finland and France. and Alberger 

7-25-79 Moore 

Bedell 

Slern 

'Commissioner Stern assumed her duties as a Commissioner on Oct. 16. 1978. and was not a Commissioner at the time of the public hearing or during most of the investigative period. 

~commissioner Stern did not participate in the decision because she did not assume her duties as a Commissioner until the preliminary investigation of the economic 

factors and legal issues in the case had been completed. 

~Chairman Parker did not participate in the vote in order to avoid any possibility or appearance of conflict of interesL 

~on imports of commodity-type rayon staple fiber from France. 

'On imports of commodity-type rayon staple fiber from Finland. 

'Determined !hat an industry is being or is likely to be injured. 

'Determined that an industry is being injured. 

15 
August 17, 1979, the Commission instituted investigation No. AA1921-210 (Certain Marine 

Radar Systems From the United Kingdom). 

Inquiries Under Section 201(c)(2) of the 

Antidumping Act 

The Trade Act of 1974 amended the Antidumping Act, 

1921, in a number of respects. The Secretary of the 

Treasury is now authorized to forward to the Commission 

any investigation of alleged sales at less than fair value in 

which he believes there is substantial doubt that an industry in the United States is being or is likely to be injured, or is prevented from being established, by reason 

of the importation of the subject merchandise. The Commission determines, within 30 days, whether there is no 

reasonable indication that an industry is being or is likely 

to be injured, or is prevented from being established. If 

the Commission finds no reasonable indication, it is required to so advise the Secretary, and the investigation is 

then terminated. 

During fiscal 1979, six such inquiries were 

completed by the Commission. They are summarized in table 9. 

Litigation Arising From Investigations 

Conducted Under the Antidumping Act 

As noted in the Commission's annual report 

for 1978, in complaints filed with the Customs 

Court during 1973, plaintiffs Atkins Kroll & Co., 

Inc., and Border Brokerage Co., Inc., asserted 

that the injury determinations of the Commission 

in investigations No. AA 1921-33 (Steel Reinforcing Bars From Canada) and No. AA1921-39 

(Carbon Steel Bars and Shapes From Canada), 

respectively, were invalid. On September 10, 

1979, the court dismissed the action in the 

Atkins Kroll & Co. case. A decision was pending 

Table 9.-Antidumping inquiries completed during fiscal year 1979 

Investigation 

No. 

AA t 921-lnq ·23 

AA1921-lnq.-24 

AA1921-lnq.-25 

AA1921-lnq.-27 

AA 1921-tnq.·28 

Commissioners· votes 

Article 

concerned 

Titanium dioxide from Bel· 

gium. France. the United 

Kingdom. and the Federal 

Republic of Germany. 

Finding that 

"there is no 

Advice reasonable inreceived Public dication jot 

from hearing injuryj" (Treas· 

Treasury ury terminates its 

investigation) 

10-30· 78 11-15· 78 Atberger 

Stern 

Certain 45 r.p.m. adaptors from 1·30·79 2·15·79 Parker 

the United Kingdom. Alberger 

Steel wire coat and garment 

hangers from Canada. 

Moore 

Bedell 

Stern 

4·17·79 5· 2·79 Parker 

Alberger 

Moore 

Bedell 

Stern 

Certain steel wire nails 4· 17·79 5· 4-79 

from the Republic of Korea. 

Sugar trom Canada 

Countertop microwave ovens 

lrom Japan. 

4-25·79 5-10·79 

8-24· 79 9· 12· 79 

and 

9-13·79 

Finding that 

"there is a 

reasonable indication Joi 

injuryj" (Treasury continues its 

investigation) 

Parker 1 

Moore 

Bedell 

Al berger 

Moore 

Bedell 

Stern 

Parker 1 

Atberger 

Moore 

Bedell 

Stern 

Parker 1 

Alberger 

Moore 

Bedell 

Stern 

1

Chairman Parker voted that he did not find that "'there is no reasonable indication jol injury].'" 

Not 

participating 

Parker2 

2

Cllairman Parker did not participa1e in the vote in order to avoid any possibility or appearance of conflict of interest. 

16 

Commission· s report 

To Secretary USITC Pub· 

of Treasury lication No. 

11·29·78 930 

3· 1·79 953 

5·17-79 974 

5-17·79 975 

5·25-79 977 

9-24·79 1003 
at the close of the fiscal year in the Border 

Brokerage Co. case. 

Another case which was noted in the Commission's annual report for 1978 was the complaint 

filed with the Customs Court on October 17, 

1974, in which Pasco Terminals, Inc., asserted, 

inter alia, that the injury determination of the 

Commission in investigation No. AA 1921-92 (Elemental Sulfur From Mexico) was invalid. The 

Customs Court held that Pasco Terminals, Inc., 

had no standing to protest the imposition of 

dumping duties (416 F. Supp. 1242 (1974)). 

Pasco Terminals, Inc., moved for a rehearing of 

that decision, and on December 1, 1976, the motion for rehearing was denied (C.D. 4676). On appeal, the U.S. Court of Customs and Patent Appeals reversed and remanded the case to the 

Customs Court. On September 26, 1979, the 

court granted the Government's motion for summary judgment and dismissed the action. 

The 1977 and 1978 annual reports contained 

references to the complaints of Armstrong Bros. 

Tool Co. et al., filed with the Customs Court on 

September 26, 1977. These complaints assert, 

inter alia, that the negative determination of the 

Commission in investigations No. AA 1921-41 

(Wrenches, Pliers, Screwdrivers, and MetalCutting Snips and Shears From Japan) and No. 

AA1921-149 (Chisels, Punches, Hammers, 

Sledges, Vises, C-Clamps, and Battery Terminal 

Lifters From Japan) were invalid. 

On the same date that the Armstrong complaints were filed, Sprague Electric Co. filed a 

complaint with the Customs Court challenging 

the Commission's negative determination in investigation No. AA 1921-159 (Tantalum Electrolytic Fixed Capacitors From Japan). At the close 

of the fiscal year, all three cases were pending 

before the court on cross-motions for summary 

judgment. 

In a complaint filed with the U.S. District Court 

for the Northern District of New York on December 7, 1978, Flintkote Co., Glens Falls Division, 

asserted that the Commission's failure to find injury in its determination in investigation No. 

AA1921-184 (Portland Hydraulic Cement From 

Canada) was invalid. On February 16, 1979, the 

action was dismissed on the ground that the 

proper forum for the challenge was the U.S. 

Customs Court. (Flintkote Co. v. Blumenthal, 469 

F. Supp. 115 (N.D.N.Y. 1979).) This decision was 

affirmed by the U.S. Court of Appeals for the 

Second Circuit on March 19, 1979. (Flintkote 

Co., Glens Falls Division v. Blumenthal, 596 F.2d 

51 (2d Cir. 1979).) On February 16, 1979, Flintkote Co., Glens Falls Division, had filed a summons with the Customs Court urging that the 

court exercise equitable powers in preventing 

the liquidation of certain entries. The action was 

dismissed by the court on February 23, 1979 

(court No. 79-2-00304, C.R.D. 79-5). 

Alberta Gas Chemicals, Inc., the U.S. subsidiary of a Canadian firm, filed suit in the 

Customs Court on August 22, 1979, seeking 

review of the Department of the Treasury's 

denial of Alberta Gas Chemicals' protest of the 

refusal to allow entry of its methyl alcohol from 

Canada absent the filing of an antidumping 

bond. (Alberta Gas Chemicals, Inc. v. United 

States, Customs Court No. 79-8-01295.) The requirement of the bond resulted from the finding 

of dumping published by Treasury on July 27, 

1979, following an affirmative injury determination by the Commission on June 29, 1979. Plaintiffs allege, inter alia, that the affirmative determination of the Commission in investigation No. 

AA 1921-202 (Methyl Alcohol From Canada) was 

clearly erroneous. On October 19, 1979, the 

Department of Justice moved to dismiss the action for lack of jurisdiction of the subject matter 

and for failure to present a justifiable issue, or, 

alternatively, for summary judgment. At the 

close of the fiscal year, these motions were still 

pending, and discovery had not yet commenced 

in the litigation. 

As of the close of the fiscal year, the Customs 

Court also had pending before it cross-motions 

for summary judgment in SCM Corp. v. United 

States, an appeal arising from the Commission's 

negative injury determination in investigation 

No. AA 1921-145 (Portable Electric Typewriters 

From Japan). 

17 
Western steel 

In fiscal 1979 the Commission completed an intensive factfinding investigation on the 

conditions of competition in the Western U.S. steel market between domestic and 

foreign steel products. The 28-month study was undertaken by the Commission under 

section 332 of the Tariff Act of 1930, a provision which allows the Commission to investigate trade matters of immediate concern to the Government and the public. Hearings 

were held by the Commission in Colorado, Oregon, and California to obtain firsthand 

testimony from the industry. Among witnesses at the Los Angeles hearing on March 29, 

1979, were Mark T. Anthony (1 ), president of Kaiser Steel Corp.; Dale Armstrong (2), 

vice president of U.S. Steel Corp., Western Steel Division; and Bruce B. Dunwoody (3), 

vice president of Bethlehem Steel Corp., Pacific Coast Division. Following the hearing, 

the Commission and staff, as guests of Kaiser Steel Corp., toured its Fontana Works (4); 

the San Bernardino County, Calif., mill is one of the most modern steelmaking facilities 

in the world. A 20-story structure houses two new Basic Oxygen Process steelmaking 

furnaces where the completely enclosed operation is computer controlled (5), under 

continuous human supervision. 

18 
2 

4 

5 

19 
6 

7 

20 

Generalized System of Preferences 

A delegation from the State of Hawaii testified at the Commission's public hearing on June 26, 1979, on the 

President's list of articles which may be designated as eligible articles for purposes of the Generalized System of 

Preferences. The dignitaries included Representative Daniel 

K. Akaka (6), D.-Hawaii, and, left to right, John Farias, Jr., 

chairman, Board of Agriculture; State Senator Henry 

Takitani, chairman of the State Committee on Agriculture; 

and State Senator Ralph K. Ajifu (7). 
8 

10 

Anhydrous ammonia 

The Commission conducted its fifth investigation under section 406(a) of the Trade 

Act of 1974 to determine whether increased imports of anhydrous ammonia from the 

U.S.S.R. caused market disruption in the United States. Senator Henry Bellman (8), 

R.-Okla., and Representative Bill Chappell, Jr. (9), D.-Fla., appeared at the Commission's 

hearing on August 29, 1979. 

Centrifugal trash pumps 

Among 19 section 337 cases completed by the Commission under the Tariff Act of 

1930 was an investigation on centrifugal trash pumps (10) to determine whether unfair 

methods of competition or unfair acts occurred in the importation of such articles into 

the United States or in their sale. 

9 

21 
11 

12 

Stainless steel 

On March 6, 1979, the Commission heard comments from both petitioners and 

respondents concerning the probable economic effect on the domestic industry of the 

termination of the annual quotas on imports of stainless and alloy tool steel (import 

relief) provided by four Presidential proclamations. The section 203 "review" case was 

instituted under the Trade Act of 1974. Senator H. John Heinz (11), R.-Pa., and Representative Doug Walgreen (12), D.-Pa., presented personal testimony at the Washington, 

D.C., hearing. Also speaking in support of the petition were Richard P. Simmons (13), 

president of Allegheny Ludlum Steel Corp.; Lloyd McBride (14}, president of the United 

Steelworkers of America; and Jacob Clayman (15), vice president of the Consumer 

Federation of America and president and secretary-treasurer of the Industrial Union 

Department, AFL-CIO. 

22 

13 

14 

15 
16 

Porcelain-on-steel cooking ware 

An important case to the sole remaining domestic producer of porcelain-on-steel 

cooking ware was the subject of a Commission "escape clause" investigation completed under section 201 of the Trade Act of 1974. At the Commission's September 6, 

1979, hearing (16), appearances in support of petitioner General Housewares Corp., of 

Terre Haute, Ind., were made by Senator Robert C. Byrd (17), Senator Jennings 

Randolph (18), and Representative Robert H. Mollohan (19), all Democrats of West 

Virginia, and Senator Birch Bayh (20), D.-lnd. Other West Virginians testifying included 

Moundsville City Manager Richard L. Escalante, center, Larry Wiedebusch, Member of 

the House of Delegates, left, and James A. Mosby, State Industrial Development 

Representative (21 ). 

23 
17 

18 20 

19 21 

24 
TRADE AGREEMENTS PROGRAM 

The Commission regularly assists the executive branch of the Government in work connected with the trade agreements program. 

Assistance is provided to the President primarily 

through the Office of the Special Representative 

for Trade Negotiations (STR), 1 the executive 

branch center for many trade-agreement activities. Substantial Commission assistance is also 

given directly to particular executive departments, such as the Departments of State, Commerce, Labor, Agriculture, and Treasury, which 

have responsibilities in the program. 

Under section 163(b) of the Trade Act of 197 4, 

the Commission is to submit a yearly report to 

Congress on the operation of the trade agreements program. The 29th report, covering calendar year 1977, and the 30th report, covering 

calendar year 1978, were near completion at the 

end of fiscal year 1979. 

The Commission's work relating to the trade 

agreements program during fiscal 1979 fell into 

six major areas. The first consisted of assembling tariff, commodity, and statistical information in support of activities associated principally 

with the Multilateral Trade Negotiations (MTN) or 

with the program's daily operation. The second 

'Subsequent to the period covered by this report, the Of· 

lice of the Special Representative for Trade Negotiations 

was redesignated the Office of the United States Trade 

Representative. The Special Trade Representative (now 

redesignated the United States Trade Representative) is the 

chief representative of the United States at trade-agreement 

negotiations, to whom the President has delegated many of 

his functions under the Trade Act of 1974 (Executive Order 

11846, Mar. 27, 1975). A member of his staff serves as Chairman of the Trade Policy Staff Committee, which obtains information and advice from Government agencies and other 

sources and recommends policies and actions to the Special 

Representative. The U.S. International Trade Commission is 

represented on the Trade Policy Staff Committee, but does 

not vote and does not participate in decisions on policy matters because the Commission is the policy research and 

factfinding agency for both Congress and the executive 

branch. 

consisted of preparing, in the complete nomenclature of the Tariff Schedules of the United 

States, four successive versions of tariff concessions offered by the United States in the MTN, 

culminating in a fifth document specifying the 

concessions finally agreed upon. The third consisted of assisting STR and the Congress in the 

preparation of legislation to approve and implement many of the trade agreements negotiated 

under the Trade Act of 197 4. The fourth consisted of preparation of a Presidential proclamation to implement the major part of the tariff concessions granted by the United States. The fifth 

involved technical assistance to the STR in work 

related to the operation of the Generalized 

System of Preferences (GSP). The sixth involved 

technical assistance to the STR in conducting 

the interagency executive branch review of certain reports which the Commission submits to 

the President. 

Multilateral Trade Negotiations 

A seventh round of comprehensive Multilateral Trade Negotiations under the auspices of 

the General Agreement on Tariffs and Trade 

(GA TI) opened in September 1973. The negotiations were in progress in Geneva, Switzerland, 

and in many capitals of the world throughout the 

period covered by this report, but they were substantially complete by the end of fiscal 1979. The 

Commission provided technical assistance to 

the STR in most areas of the negotiations. Computer data on U.S. imports and tariffs were prepared for the U.S. delegation in Geneva. Technical assistance was regularly provided to many 

of the Washington-based task forces which provided support for the U.S. delegation, including 

extensive assistance in assembling statistics 

and other data for the U.S. tariff offers initially 

tabled in Geneva in January 1978. Commission 

staff and Commissioners participated in Geneva 

meetings of the MTN negotiating groups, and 

25 
William E. Culbert, deputy head of the U.S. delegation, 

signed the MTN tariff protocol for the .United States on July 

11, 1979, in Geneva. Also present were (from left) William T. 

Hart, Commission Executive Liaison and Special Advisor for 

Trade Agreements; Julio Raimondi, Minister for Economic 

Affairs of Argentina; and Ann Hughes, Department of Commerce. 

five members of the Commission staff were on 

the permanent U.S. MTN delegation in Geneva 

during the first half of the fiscal year. Three additional staff members were temporarily detailed 

to Geneva to assist in the final tariff negotiations 

with the developed countries. Assistance was 

also provided for the bilateral negotiations with 

Taiwan, Hungary, and cou.ntries forming the 

Cartegena Agreement. 

Toward the end of fiscal 1978, at the request 

of the Senate Committee on Finance and the 

House Committee on Ways and Means, the 

Commission began work on an extensive analysis of the M.TN as part of a large program to 

assist Members of Congress in their examination of the various MTN agreements and consideration of implementing legislation sent to the 

two committees. This study, completed in June 

1979, assessed the impact on U.S. industry, 

labor·, ,and consumers of the tariff reductions 

made by the United States and its major trading \ ' ' . 

26 

partners and of the nontariff-measure agreements being negotiated with .. r.~spect to safeguards, government procurement, subsidies and 

countervailing duty measures, technical barriers 

to trade (standards), licensing procedures, 

customs valuation, and several other more 

specific agreements such as those on trade in 

aircraft and dairy products. 

The Commission continued to supply the 

GATT Secretariat in Geneva with compilations of 

data on U.S. imports, tariffs, and trade-agreement obligaJions. Most of this was part of a continuing compilation of trade and tariff information to provide basic data for the MTN. Since virtually all international tariff and trade work is 

conducted in terms of the product classifications of the Customs Cooperation Council 

Nomenclature (CCCN), the Commission regularly provides the GATT Secretariat with information on the concordance between the Tariff 

Schedules of the United States (TSUS) and the 

CCCN. This concordance is continuously being 

updated at the Commission. 

Formal Documentation for U.S. Tariff Offers 

and Concessions 

In the last half of fiscal 1978, the Office of Executive Liaison and Special Advisor for Trade 

Agreements began preparation of the document 

setting out all tariff concessions offered by the 

United States in the MTN in the complete 

nomenclature of the TSUS. The initial version of 

this so-called legal offer list was tabled in 

Geneva in December 1978. As the negotiations 

proceeded to a conclusion, extensive revisions 

were made in the initial offers. To accurately 

reflect all these changes at key stages of the 

negotiations, two revised editions of the document were issued. The final concessions agreed 

upon were then recorded in a similar 600-page 

document, which in early July was annexed to 

the Geneva (1979) Protocol concluding the tariff 

negotiations among developed countries. 

Late in 1979, work was begun on preparation 

of a consolidated schedule of U.S. concessions 

under th.e GATT (schedule XX), which would incorporate, in addition to the concessions negotiated in the MTN, those made in the Kennedy 
Signaling a "new era for fair trade,and ,U.S. export growth," President Carter signed the Trade Agreements Act of 1979 in a 

White House ceremony on July 29, 1979. Attending the ceremony were industry representatives, Members of Congress, senior 

administration officials, and Commissioners from the U.S. International Trade Commission. The action was the culmination of 

years of n~goti_ations' on trade liberalization among 99 nations. The trade agreements, which ·received.almost unanimous approval by the Congress, will gradually cut tariffs by about a third and impose a series of measures to reduce nontariff barriers to 

trade. 

round and earlier negotiations. The consolidated 

schedule XX is expected to be completed and 

circulated to the other GATT contracting parties 

for certification during 1980. 

MTN Implementing Legislation 

Considerable time and effort were spent by 

the Office of the General Counsel, the Office of 

Nomenclature, Valuation, and Related Activities, 

and the Office of Executive Liaison and Special 

Advisor for Trade Agreerri'ents in assisting STR 

and the staffs of the House Committee on Ways 

and Means and the Senate Committee on 

Finance in drafting the Trade Agreements Act of 

1979, which became Public Law 96-39 on July 

26, 1979. 

The purpo~es of this act are-

, (1) To •approve and implement the trade agreements 

'{negotiated under the Trade Actof 197 4; 

(2) To foster the growth and maintenance of an open 

world trading system; 

(3) To expand opportunities for the commerce of the 

· United States'in international trade; and 

(4) To improve the rules of international trade and to provide for the enforcement of such rules, and for other 

.. ·purposes. 

This legislation, inter alia, approved the agreements which had been negotiated in the MTN 

and submitted to the Congress in June, set the 

conditions under which the President could accept the agreements for the United States, and 

provided for the modificatiohs of various U.S. 

statutes which would be necessary to implement 

the ·agreements. The major amendments to existing U.S. laws made by the Trade Agreements 

Act of 1979 concerned countervailing and antidumping duties, customs valuation, government 

procurement, the establishment of product standards, trade in civil aircraft, and the basis·for levy~ 

ing duties on distilled spirits. A large number of 

otheJ provisions affected a wide range of specific products. 

Implementation of Tariff Concessions 

Tariff concessions granted by the United 

States in trade agreements are implemented by 

27 
Presidential proclamations which modify the 

Tariff Schedules of the United States accordingly. 

At least two proclamations will be required to implement the vast number of reductions negotiated in the MTN and certain bilateral agreements. Work on the first of these proclamations 

was begun in May 1979 by the Office of Executive Liaison and Special Advisor for Trade 

Agreements and the Office of Nomenclature, 

Valuation, and Related Activities, and continued 

throughout the remainder of the fiscal year. 

When subsequently completed, it would be by 

far the largest and most complex such proclamation ever issued. 2 A second large proclamation, which will deal principally with implementing tariff concessions tied to the effective date 

for the United States of the new customs valuation standards contained in the MTN agreement 

relating to customs valuation, was planned for 

the spring of 1980. 

Generalized System of Preferences 

The Trade Act of 197 4 gave the President 

authority to establish a Generalized System of 

Preferences, under which eligible articles that 

are the product of designated beneficiary 

developing countries can be imported into the 

United States free of duty. Executive Order 

11888 implemented the GSP effective January 

1, 1976; the Special Trade Representative and 

the Secretary of State are jointly responsible for 

its administration. The Executive order has been 

modified several times to change the list of articles receiving GSP treatment and the list of 

beneficiary countries. During fiscal year 1979, 

the Commission again provided technical assistance in the interagency review leading to these 

modifications, as well as assistance in preparation of the orders implementing the changes. 

The Commission provided its advice on 37 items 

as to the probable economic effects on U.S. industries producing like or directly competitive 

articles and on consumers of the elimination of 

import duties under the GSP. In addition, Commission personnel assisted in monitoring GSP 

'The proclamation was signed by the President on Dec. 

1 l, .1979 

28 

imports and did the major part of the work entailed in application of the "competitive need" 

criteria set out in section 504 of the Trade Act. 

For the sixth executive branch review of the 

operation of GSP, parts of which consisted of 

public hearings held by the Trade Policy Staff 

Committee, STR was supplied technical data on 

U.S. production of and trade in more than 86 articles on which petitions had-been .submitted for 

a modification of their GSP status. Commission 

personnel also assisted in the work begun for 

the preparation of the 5-year status report to 

Congress on the operation of the GSP program. 

The Trade Agreements Act of 1979 made four 

changes regarding the operation of the GSP program. The first permits the extension of beneficiary status to members of the Organization of 

Petroleum Exporting Countries provided that the 

country in question entered into a bilateral 

product-specific trade agreement with the 

United States under section 101 or 102 of the 

Trade Act of 197 4 before January 3, 1980. The 

second change lowered the "local content" requirement from 50 percent to 35 percent of the 

appraised value of the article for imports from 

any two or more countries which are members 

of the same association of countries which is 

treated as one country under section 502(a)(3) of 

the Trade Act. The third change gives the President authority to waive the 50-percent competitive-need criterion where the total value of imports of an eligible article is less than $1 million 

(adjusted annually). The fourth change extends 

the implementation date of competitive-need 

changes from 60 days to 90 days after the close 

of each calendar year. 

Executive Branch Review of Commission 

Reports 

Many of the reports which the Commission 

submits to the President under various statutes, 

such as section 201 of the Trade Act of 197 4, involve matters on which action by the President 

would affect trade-agreement obligations of the 

United States. Executive branch review of these 

reports for the purpose of formulating executive 

branch recommendations to the President is 

usually centered in the Office of the Special 
Representative for Trade Negotiations. The 

Commission provides technical assistance in 

the review process, including such supplemental 

information as may be required. During the 

period covered by this report the Commission 

submitted two reports to the President on investigations which were instituted as a result of 

petitions for import relief under section 201 of 

the Trade Act and eight reports under section 

337 of the Tariff Act of 1930. Most of these 

reports required eventual action by the President. 3 

UNIFORM STATISTICAL DATA ON 

IMPORTS, EXPORTS, AND PRODUCTION 

Activities Under Section 484(e) of the 

Tariff Act of 1930 

Section 608(a) of the Trade Act of 197 4 and 

Public Law 95-106 amended section 484(e)4 of 

the Tariff Act of 1930 by providing for comparability of U.S. imports, production, and export 

data, as follows: 

(e) Statistical Enumeration.-The Secretary of the 

Treasury, the Secretary of Commerce, and the United 

States International Trade Commission are authorized 

and directed to establish from time to time for statistical 

purposes an enumeration of articles in such detail as in 

their judgment may be necessary, comprehending all 

merchandise imported into the United States and exported from the United States. and shall seek, in conjunction with statistical programs for domestic production and 

programs for achieving international harmonization of 

trade statistics, to establish the comparability thereof 

with such enumeration of articles. All import entries and 

export declarations shall include or have attached thereto 

3

The reports under sec. 201 of the Trade Act concerned 

investigations to determine whether a domestic industry was 

being seriously injured, or threatened with serious injury, by 

imported articles. The products involved were clothespins 

and bolts, nuts, and large screws of iron or steel. 

The reports under sec. 337 of the Tariff Act of 1930 concerned unfair acts in the importation into the United States 

of doxycycline, certain roller units, certain luggage products, 

electric slow cookers, flexible foam sandals. multicellular 

plastic film, novelty glasses, and thermometer sheath 

packages. 

'19 U.S.C. 1484(e). 

an accurate statement specifying, in terms of such detailed .enumeration, the kinds and quantities of all merchandise imported and exported and the value of the total 

quantity of each kind of article. 

A great amount of work during fiscal years 

1976 and 1977 by the Commission and the 

Departments of the Treasury and Commerce 

resulted in the preparation and printing of a 1978 

edition of Schedule B (the export schedule) 

based on the Tariff Schedules of the United 

States Annotated (TS USA) and a 1978 edition of 

the TSUSA incorporating changes providing for 

greater comparability with exports and production, and in changes in the product codes based 

on the Standard Industrial Classification providing for greater comparability with imports and 

exports. 

During fiscal year 1979, the Committee for 

Statistical Annotation of Tariff Schedules, which 

is made up of delegates of the Secretary of the 

Treasury and the Secretary of Commerce and 

which is chaired by a delegate of the Commission, considered 40 requests for statistical annotations to the TSUSA and 40 requests for modifications to Schedule B in order to improve the 

comparability of U.S. import and export data and 

for other reasons. As a result of these requests, 

the committee created 142 new TSUSA items 

and provided 146 new Schedule B numbers. 

Harmonized Commodity Code 

Pursuant to section 608(c) of the Trade Act of 

197 4, in fiscal year 1975 the Commission undertook an investigation under section 332(g) of the 

Tariff Act of 1930 which would provide the basis 

forfull and immediate participation by the United States International Trade Commission in the United States contribution to technical work of the Harmonized Systems 

[sic] Committee under the Customs Cooperation Council 

to assure the recognition of the needs of the United 

States business community in the development of a Harmonized Code reflecting sound principles of commodity 

identification and specification and modern producing 

methods and trading practices . 

Du ring fiscal year 1979 the Commission participated in the U.S. contribution to the technical 

work of the Harmonized System Committee by 

29 
preparing comments on 14 chapters of the Harmonized Code and by providing technical assistance to the U.S. delegate to the Harmonized 

System Committee at Committee sessions. In 

addition, preliminary work was done on 41 new 

chapters of the Harmonized Code. Commission 

staff attended all three sessions of the Harmonized System Committee during fiscal year 

1979 and initiated bilateral meetings with representatives of the European Community prior to 

meetings of the Committee in order to facilitate 

and expedite its deliberations. 

PREPARATION OF THE TARIFF 

SCHEDULES OF THE UNITED STATES 

ANNOTATED 

The Tariff Schedules of the United States Annotated is published periodically by the Commission. It contains the classifications used for 

reporting import data by commodity and by supplying countries. The schedules delineate some 

11,000 commodity classifications for which import statistics are collected. At appropriate intervals the TSUSA is updated to reflect the effects 

of legislation, Presidential proclamations and Executive orders, and other modifications of the 

schedules. 

During fiscal 1979 the Commission issued 

supplements 4 and 5 to the 10th (1978) edition of 

the TSUSA. 

PERIODIC REPORTS ON COMMODITIES 

Synthetic Organic Chemicals 

The Commission has regularly prepared annual and monthly reports on synthetic organic 

chemicals, plastics and resin materials, medicinal chemicals, pesticides, and other products. 

The annual reports have been published since 

1918; the monthly production reports evolved 

from studies of hundreds of organic chemicals 

begun during World War I. 

Government uses of these data reportedly include monitoring of toxic substances by the Environmental Protection Agency and the National 

Institute for Occupational Safety and Health, 

trade adjustment assistance by the Department 

30 

of Labor, planning and investigations by the 

Food and Drug Administration, trade negotiations by the Office of the Special Representative 

for Trade Negotiations, mobilization studies by 

the Department of Commerce, assurance of 

petrochemical feedstock supplies by the Department of Energy, and monitoring of the economy 

(particularly the chemical industry) by the Council on Wage and Price Stability. The business 

community, including industry, consultants, and 

financial analysts, also reportedly uses these 

data extensively. 

Annual reports.-The 61 st annual report on 

U.S. production and sales of synthetic organic 

chemicals, covering calendar year 1977, was 

released by the Commission on October 12, 

1978. 5 Also during fiscal year 1979, the Commission prepared the 62d annual report, covering 

calendar year 1978.6 Fifteen groups of chemicals were involved: 

Tar and tar crudes 

Primary products from petroleum and natural gas for 

chemical conversion 

Cyclic intermediates 

Dyes 

Organic pigments 

Medicinal chemicals 

Flavor and perfume materials 

Plastics and resin materials 

Rubber-processing chemicals 

Elastomers (synthetic rubber) 

Plasticizers 

Surface-active agents 

Pesticides and related products 

Miscellaneous end-use chemicals and chemical products 

Miscellaneous cyclic and acyclic chemicals. 

Approximately 750 manufacturers report data 

to the Commission on some 8,000 chemical 

products; these data form the base for the annual report. Also included in the annual report is 

a directory of manufacturers for each of the 

named chemicals and chemical products. The 

data for another annual Commission publication, 

Imports of Benzenoid Chemicals and Products, 

are obtained by analyzing invoices covering 

most of the ·general imports of benzenoid 

chemicals. 

'Synthetic Organic Chemicals, United States Production 

and Sales, 1977, USITC Publication 920, 1978. 

'Synthetic Organic Chemicals, United States Production 

and Sales, 1978, USITC Publication 1001, 1979. 
Monthly reports.-The monthly production 

reports (Series C/P) add timeliness to the Commission's statistics. A report, containing production data for 91 selected synthetic organic 

chemicals, plastics and resins, and other trendsetting indicator materials, is issued for each 

month at a date approximately 6 weeks after the 

month covered by the report. 

Quantitative Determinations 

As required by statute, Executive order, or 

Presidential proclamation, the Commission continued to submit annual and quarterly reports 

during fiscal year 1979 on several commodities. 

Annual reports were submitted on U.S. consumption of watch movements1 and brooms. 8 

In 1976, after receiving the Commission's 

report on stainless steel and alloy tool steel (investigation No. TA-201-5), the President imposed 

quantitative restrictions on stainless steel and 

alloy tool steel for a period of 3 years and implemented a monitoring program administered by 

the Commission. 9 The quotas, which were due to 

expire on June 13, 1979, were extended to 

February 13, 1980. 10 In fiscal year 1979, the 

Commission issued four quarterly reports11 

covering U.S. producers' production, shipments, 

employment, man-hours, and prices. Two annual 

reports 12 were also issued during the year. One 

covered U.S. importers' prices, unshipped 

orders, and inventories; the other covered U.S. 

producers' profit, unshipped orders, inventories, 

'Public Law 89-805 (80 Stat. 1521, 1522); unnumo8red 

USITC publication, 1979. 

•Public Law 89-241 (79 Stat. .948, 949); Executive Order 

11377 implements headnote 3 to schedule 7, pt. 8, subpt. A, 

of the TSUS; USITC Publication 967, 1979. 

•Presidential Proclamation 4445 implements headnote 

2(g)(i) and (ii) of pt. 2, subpt. A, of the Appendix to the TSUS. 10Presidential Proclamation 4665 extended the quotas to 

Feb. 13, 1980. 

"Third calendar quarter 1978, USITC Publication 927, 

1978; fourth calendar quarter 1978, USITC Publication 942, 

1979; first calendar quarter 1979, USITC Publication 973, 

1979; second calendar quarter 1979, USITC Publication 996, 

1979. 

12Annual report on U.S. importers for calendar year 1978, 

USITC Publication 961, 1979; annual report on U.S. producers for calendar year 1978, USITC Publication 960, 1979. 

capacity, capital expenditures, and research 

and development expenditures. The quarterly 

and annual reports are to continue for the duration of the quantitative restrictions. 

In conformance with the provisions of the 

orderly marketing agreement negotiated with 

the Government of Japan limiting the export of 

color television receivers and certain subassemblies thereof from Japan to the United States for 

a period of 3 years, the Commission issued four 

quarterly reports13 showing aggregate monthly 

data provided by U.S. producers of color TV 

receivers on production, shipments, inventories, 

imports, employment, man-hours, prices, and 

other economic factors indicative of conditions 

in the U.S. industry. In addition, the Commission 

issued the second of the required annual 

reports 14 showing quarterly data on profit and 

capacity and annual data on capital expenditures for U.S. producers, and quarterly data on 

prices, orders, and inventories for importers. 

These periodic reports will continue for the dura-' 

tion of the orderly marketing agreement. 

Following receipt of the Commission's report' 

on mushrooms in January 1977 (investigation 

No. TA-201-10), the President determined that 

import relief was not in the national economic interest. However, he decided to monitor import 

competition in the domestic market for canned 

mushrooms. Accordingly, pursuant to section 

332(g) of the Tariff Act of 1930, the President requested the Commission to prepare quarterly 

statistical reports on U.S. production, sales, inventories, imports, exports, and apparent consumption of canned mushrooms. These quarterly reports are to b'e continued until the Commission is notified by STR that they are no longer required. The Commission issued four such quarterly reports in fiscal 1979. 15 

"Third calendar quarter 1978, USITC Publication 925, 

1978; fourth calendar quarter 1978, USITC Publication 939, 

1979; first calendar quarter 1979, USITC Publication 971, 

1979; second calendar quarter 1979, USITC Publication 995, 

1979. 

"Annual report for calendar year 1978, USITC Publication 

962, 1979. 

"Third calendar quarter 1978, USITC Publication 931, 

1978; fourth calendar quarter 1978, USITC Publication 952, 

1979; first calendar quarter 1979, USITC Publication 978, 

1979; second calendar quarter 1979, USITC Publication 998, 

1979. 

31 
After considering the Commission's report on 

footwear (investigation No. TA-201-18), the 

President decided not to impose the tariff-ratequota remedy recommended by the Commission 

for the injury it found, but rather to negotiate 

orderly marketing agreements limiting the export of certain footwear from Taiwan and the 

Republic of Korea to the United States. On June 

24, 1977, he announced such agreements 

covering certain footwear shipped to the United 

States for the 4 years ending June 30, 1981. 16 

The President announced that the Commission 

would issue quarterly reports showing monthly 

data on U.S. production, imports for consumption, apparent consumption, employment, and 

prices. It would also conduct annual surveys of 

domestic producers with respect to profit, 

orders, capacity, inventories, prices, capital expenditures, and research and development expenditures, and annual surveys of importers with 

respect to prices, orders, and inventories. The 

Commission issued the first of its annual surveys 

of footwear producers and importers on May 31, 

1978, 11 and the second on May 31, 1979.' 0 In addition, four quarterly reports were issued during 

1979. '

9 The quarterly and annual reports are to 

continue for the duration of the orderly marketing agreements. 

On January 6, 1979, the President, after 

receiving the Commission's recommendations 

in connection with investigation No. TA-201-37, 

imposed duty increases on bolts, nuts, and large 

screws of iron or steel. 20 The duty increases are 

scheduled to remain in effect for 3 years. The 

Commission is currently monitoring the fastener 

industry to determine the effects of the in1

•Presidential Proclamation 4510, June 22, 1977, implements headnote 3(k)(i) and (ii) to pt. 2, subpt. A, of the Appendix to the TSUS. 

"Annual report for calendar years 1976 and 1977, USITC 

Publication 889, 1978. 

"Annual report for calendar years 1977 and 1978, USITC 

Publication 980, 1979. 19Third calendar quarter 1978, USITC Publication 929, 

1978; fourth calendar quarter 1978, USITC Publication 950, 

1979; first calendar quarter 1979, USITC Publication 981, 

1979; second calendar quarter 1979, USITC Publication 997, 

1979. 20Presidential Proclamation 4632 implements headnote 

4(a) and (b) of pt. 2, subpt. A, of the Appendix to the TSUS. 

32 

creased duties and has published one annual 21 

and two quarterly reports. 22 The annual report 

covered U.S. producers' profits, unfilled orders, 

inventories, capital expenditures, and capacity 

and U.S. importers' unfilled orders, inventories, 

and prices. The quarterly reports provided data 

on U.S. production, shipments, imports, exports, 

apparent consumption, employment, manhours, and prices. 

Other Periodic Reports 

The compilation and publication of the following two series of data began some years ago in 

response to congressional and general public interest. Series A relates to all motor vehicles (i.e., 

passenger automobiles, trucks, buses, and so 

forth) and is published annually, in the spring; 

Series B relates to new passenger automobiles 

only and is published annually, in the fall. Two 

such reports were published during fiscal year 

1979: 

Automotive Trade Statistics, 1964-78: U.S. Factory Sales, Imports, Exports, Apparent Consumption, and Trade Balances with Canada 

and All Other Countries (Series A-Motor 

Vehicles), USITC Publication 985, June 1979. 

Automotive Trade Statistics, 1964-78: U.S. Factory Sales, Retail Sales, Imports, Exports, Apparent Consumption, Suggested Retail Prices, 

and U.S. Bilateral Trade Balances With the 

Eight Major Producing Countries (Series B: 

Passenger Automobiles), USITC Publication 

1002, September 1979. 

SUMMARIES OF TRADE AND TARIFF 

INFORMATION 

The Commission periodically publishes a 

series of summaries of trade and tariff information to provide the Congress, the courts, Government agencies, foreign governments, industrial 

"Annual report on U.S. producers and U.S. importers for 

calendar year 1978, USITC Publication 963, 1979. 

"First calendar quarter 1979, USITC Publication 979, 

1979; second calendar quarter 1979, USITC Publication 

1000, 1979. 
institutions, research and trade organizations, 

and the general public with information on each 

of the commodities listed in the Tariff Schedules 

of the United States. 

These summaries provide comprehensive 

coverage of product uses, manufacturing processes, and commercial practices, and include 

analysis of the numerous factors affecting U.S. 

and world trade in each commodity area. 

The overall summary program will run several 

years, ultimately covering all items of the TSUS. 

In fiscal year 1979, the Commission issued only 

three summaries owing to the overriding commitment of the Commission to an extensive 

analysis of the Multilateral Trade Negotiations. 

The summaries issued in fiscal year 1979 (USITC 

Publication 841) covered the following subjects: 

Title Control No. Release date 

Unmounted Ophthalmic 

Lenses . 7-2-6 October 1978 

Live Plants . 1-6-4 November 1978 

Live Cattle and Meat 

of Cattle. 1-1,2-5 September 1979 

ASSISTANCE TO THE CONGRESS 

During fiscal year 1979, the Office of Congressional Liaison continued to provide liaison 

with the Congress, State and local governments, 

international organizations, and nonexecutive 

Government agencies. Responding to congressional inquiries remained a major activity of the 

Office: the Commission replied to an average of 

41 written requests and 83 oral inquiries each 

month. In addition, technical assistance was 

provided on 56 bills, and staff specialists participated at a number of congressional hearings. 

Three investigations initiated in fiscal 1978 in 

response to specific congressional requests 

were completed in fiscal 1979. Two of them 

were requested by the House Committee on 

Ways and Means: Bolts, Nuts, and Large Screws 

of Iron or Steel (No. TA-201-37), instituted under 

section 201 of the Trade Act of 1974, and A 

Baseline Study of the Telephone Terminal and 

Switching Equipment Industry (No. 332-92), conducted under section 332 of the Tariff Act of 

1930. The report on the metal fasteners investigation was sent to the President in November 

1978, and the telephone equipment study report 

was transmitted to the committee in January 

1979. The third investigation, Agreements Being 

Negotiated at the Multilateral Trade Negotiations in Geneva (No. 332-101 ), a section 332 

review jointly requested by the House Committee on Ways and Means and the Senate Committee on Finance, was completed in June 1979. 

The report on a section 332 investigation that 

the Commission instituted on its own motion in 

fiscal 1977 after receiving a congressional request, Conditions of Competition in the Western 

U.S. Steel Market Between Certain Domestic 

and Foreign Steel Products (No. 332-87), was 

completed in September 1979. 

Two additional section 332 investigations, instituted at the specific request of congressional 

committees during fiscal 1979, were in progress 

at the end of the fiscal year: Competitive Factors 

Influencing World Trade in Integrated Circuits 

(No. 332-102) was jointly requested by the 

Senate Committees on Finance and on Banking, 

Housing, and Urban Affairs in October 1978, and 

Casein and Its Impact on the Domestic Dairy Industry (No. 332-105) was requested by the 

House Committee on Ways and Means in June 

1979. Also, the Commission continued its ongoing section 332 investigation on Formulation of 

an International Commodity Code (No. 332-73) 

as required by section 608(c)(1) of the Trade Act 

of 1974. 

During the year, 10 Members of Congress appeared as witnesses at hearings before the 

Commission, and written testimony was received from additional Members. 

NEW YORK CITY FIELD OFFICE 

From its earliest days the Commission recognized the advisability of operating a field office in 

the Nation's leading center for international 

commerce-the port of New York and New 

Jersey. Established in 1922, the New York facility remains the only Commission office functioning outside the Nation's Capital. 

Located in the U.S. Customs Service area 

within the World Trade Center complex in lower 

33 
Manhattan, the Commission's field office performs several functions. The office develops and 

maintains liaison with numerous agencies and 

organizations at the New York-New Jersey port, 

including the U.S. Customs Service, the United 

Nations, numerous consulates, transportation 

companies and freight forwarders, export/import 

shippers and manufacturers, and banking representatives. 

From their vantage point at the World Trade 

Center, Commission personnel provide timely 

assessments of developments or trends which 

might affect the work of the Commission. The 

34 

field office gathers data and supplies technical 

assistance required in the conduct of studies 

and investigations. At the same time, it provides 

information and assistance to the general 

public, the trade community, and various 

Government agencies. Particularly useful is the 

library which the Commission maintains at Suite 

629, 6 World Trade Center. Serving as the field 

office's information center, the library contains 

Commission reports, notices, and press releases, as well as selected statistical data, legal 

documents, commodity classification schedules, and other trade-related publications. 
aclmfurnnsftJra ftll({])Il11 and finances 

ORGANIZATION OF THE COMMISSION 

On September 30, 1979, the U.S. International 

Trade Commission was composed of 5 Commissioners and 361 staff members. 1 The chart on 

page 38 depicts the Commission's organization 

at the end of fiscal 1979. 

The Secretary serves the Commission in the 

conduct of its business and is an official point of 

contact, in general, with other Government 

agencies and the public. The Director, Office of 

Executive Liaison and Special Advisor for Trade 

Agreements, acts as the Commission's liaison 

with the President's Special Representative for 

Trade Negotiations and advises the Commission 

on trade agreements. The General Counsel is 

the Commission's chief legal officer. The Senior 

Advisor advises the Commission on a broad 

range of issues affecting all phases of Commission activity. The Chief Administrative Law 

Judge presides over section 337 case hearings. 

The Director, Office of Congressional Liaison, 

acts as the principal Commission contact with 

the Senate and the House of Representatives. 

The Director of Operations is in charge of carrying out the Commission's substantive day-to-day 

activities, including investigative duties. The 

Director of Administration is responsible for support, including personnel, finance, services, and 

production. 

Membership of the Commission 

As provided in the Tariff Act of 1930, as 

amended, the six Commissioners of the U.S. International Trade Commission are Presidential 

appointees who are confirmed by the Senate. 

Their terms are 9 years in length, unless a Com-

'Temporary employees not included. 

missioner is appointed to fill an unexpired term, 

and they are not eligible for reappointment if 

they serve for more than 5 years. By provision of 

Public Law 95-106 the President is authorized to 

designate the Chairman and Vice Chairman for 

2-year terms. The Chairman and Vice Chairman 

may not be of the same political party, nor may 

the President appoint two Commissioners of the 

same political party for two consecutive 2-year 

terms as Chairman. Not more than three Commissioners may belong to the same political party. During fiscal 1979 Joseph 0. Parker served 

as Chairman, and Bill Alberger served as Vice 

Chairman. 

The following Commissioners served during 

fiscal year 1979: 

Commissioner Joseph 0. Parker, Republican 

of Virginia. Mr. Parker's term expired December 

16, 1979, and he resigned effective December 

31, 1979. 

Commissioner George M. Moore, Republican 

of Maryland. Mr. Moore's term expires December 16, 1982. 

Commissioner Catherine Bedell, Republican 

of Washington. Mrs. Bedell's term expires June 

16, 1984. 

Commissioner ltalo H. Ablondi, Democrat of 

New York. Mr. Ablondi's term expires June 16, 

1981.2 

Commissioner Bill A/berger, Democrat of 

Oregon. Mr. Alberger's term expires December 

16, 1985. 

Commissioner Paula Stern, Democrat cif the 

District of Columbia. Ms. Stern's term expires 

June 16, 1987. 

Commissioner Michael J. Calhoun, Independent of the District of Columbia, entered on duty 

on February 1, 1980. Mr. Calhoun's term expires 

December 31, 1988. 

'Commissioner Ablondi resigned effective Oct. 10, 1978. 

35 

• 
Executive Staff of the Commission 

General Counsel 

Director, Office of Executive 

Liaison and Special Advisor 

for Trade Agreements . 

Senior Advisor to the 

Commission 

Secretary to the Commission 

Director, Office of Congressional 

Liaison 

Chief Administrative Law Judge . 

Administrative Law Judge 

Director, Office of Administration 

Chief, Finance and Budget 

Division 

Director of Personnel 

Chief, Services Division. 

Chief, Production Division 

Director of Operations 

Director of Investigations 

(Acting) 

Chief, Unfair Import 

Investigations Division 

(Acting) 

Director, New York 

Field Office 

Director, Office of Industries. 

Chiefs of Divisions: 

Agriculture, Fisheries, 

and Forest Products 

Minerals and Metals 

Energy and Chemicals. 

Textiles, Leather 

Products, and 

Apparel 

Machinery and 

Equipment 

General Manufactures 

Director, Office of 

Economic Research 

Director, Office of 

Data Systems (Acting) 

Director, Office of 

Nomenclature, Valuation, 

and Related Activities 

Public Information Officer 

Michael H. Stein.' 

William T. Hart. 

Russell N. Shewmaker.' 

Kenneth R. Mason. 

George L. Hooper. 

Donald K. Duvall. 

Janet D. Saxon. 

Charles R. Ramsdale. 

Edward C. Wallington, Jr. 

Terry P. McGowan. 

Ronald P. Fox. 

Kenneth Will, Jr. 

Charles W. Ervin.' 

E. William Fry' 

Edward M. Lebow.• 

Walter S. Trezevant. 

Norris A. Lynch. 

Edward P. Furlow. 

Vacant. 

Aimison Jonnard. 

Reuben I. Schwartz. 

Aaron H. Chesser.' 

Selma L. Coble. 

Norman S. Fieleke.' 

Michael Oisavsky. 

Eugene A. Rosengarden. 

Harold W. Sundstrom. 

'From July 12, 1979, through May 23, 1980, Mr. 

Shewmaker served as General Counsel and Mr. Stein served 

as Senior Advisor. 

'Effective Dec. 3, 1979. 

'Effective Jan. 18, 1980. 

•Effective May 5, 1980. 

'Effective Feb. 10, 1980. 

'Effective Nov. 13, 1979. 

36 

Sources of Information 

Inquiries should be directed to the specific 

organizational unit or to the Secretary, U.S. International Trade Commission, 701 E Street NW., 

Washington, D.C. 20436, phone 202-523-0161. 

Publications may be ordered 24 hours a day, 7 

days a week, by calling 202-523-5178. 

Facilities for research by the public are 

located in the Office of the Secretary, in the 

Commission Library, and in the New York City 

field office. 

In addition to its statutory obligations to conduct public investigations, the Commission 

assists the legislative and executive branches of 

Government and answers many inquiries from 

the news media and the public. As the international economic research arm of the Government, it maintains a 72,000-volume library, 

which subscribes to about 1,200 periodicals. 

This facility houses not only publications on international trade and U.S. tariff and commercial 

policy, but also many business and technical 

journals. In addition, the Commission's Office of 

the General Counsel maintains a law library, and 

a comprehensive file of documents on legislation affecting U.S. trade. 

EMPLOYMENT AND APPROPRIATIONS 

The Commission staff represents a unique 

blend of professional investigators, attorneys, 

economists, and commodity analysts, including 

nationally and internationally recognized experts 

in their fields. In fiscal year 1979, average 

employment-in terms of work-years-was 390, 

about 1 percent below that of fiscal year 1978. 

The following tabulation shows the number of 

permanent full-time officers and employees of 

the Commission by organizational units at the 

close of fiscal year 1979: 

Position or activity 

Commissioners. 

Offices of the Commissioners 

Office of the Secretary 

Office of Executive Liaison and Special 

Advisor for Trade Agreements 

Sept. 30, 1979 

5 

18 

11 

8 
Position or activity-Con. 

Office of the General Counsel 

Office of Congressional Liaison . 

Office of the Senior Advisor . 

Office of the Administrative Law Judge 

Office of the Director of Administration 

Finance and Budget Division 

Personnel Division 

Services Division 

Production Division 

Office of the Director of Operations . 

New York Field Office. 

Investigative Staff. 

Office of Legal Services . 

Office of Industries . 

Office of Economic Research 

Office of Data Systems 

Office of Nomenclature, Valuation, and 

Related Activities . 

Total 

Sept. 30, 1979 

22 

2 

2 

6 

4 

8 

13 

10 

17 

3 

5 

23 

17 

116 

27 

29 

15 

361 

The U.S. International Trade Commission submits its budget to the President for transmittal to 

the Congress. 9 During fiscal year 1979, appropriated funds made available to the Commission 

amounted to $13,250,000. Reimbursements 

received totaled $12,420, making available a 

•Because of the unique role of the Commission as a quasijudicial and independent agency designed to provide trade 

expertise to both legislative and executive branches of 

Government, Congress provided that the budget of the International Trade Commission would not be subject to control 

by the Office of Management and Budget, but would instead 

be submitted directly to the Congress. 

grand total of $13,262,420. Obligations for fiscal 

years 1978 and 1979 were as follows: 

Item Fiscal year Fiscal year 

1978 1979 

Salaries and personnel 

benefits $9,487,919 $9,974,481 

Travel and transportation 266,647 214,389 

Rental and communications 

services 1,027,995 1,060,399 

Other services . 611,237 645,776 

Printing and Reproduction 195,666 170,230 

Equipment, supplies, and 

materials 406, 192 500,680 

Total 11,995,656 12,565,955 

A majority of the Commission's employees 

are housed in the U.S. International Trade Commission Building, at 701 E Street NW. 10 Owing to 

space limitations, employees in the Office of the 

Administrative Law Judge, the Office of Economic Research, and the Office of Data Systems 

are located in the Bicentennial Building, at 600 E 

Street NW. 

10The building was built from 1839 to 1869 under the 

supervision of Thomas U. Walter, one of the architects of the 

Capitol. The Commission took up quarters in the building in 

1921 after such occupants as the Postmaster General, the 

General Land Office, the Bureau of Education, the National 

Selective Draft Board, and General John J. Pershing. 

37 
w 

CXl 

I 

Office 

of the 

General 

Counsel 

I 

Finance 

and 

Budget 

UNITED STATES INTERNATIONAL TRADE COMMISSION 

I COMMISSION 

I 

I I I I 

Office of Office of Senior Advisor Office Office 

Executive Liaison the Secretary to the of of 

and Special Advisor Commission Congressional Administrative 

for Trade Agreements Liaison Law Judge 

I 

Office of New York Office of 

Administration Field Office ...._ Operations 

I 

I I I I I I 

Personnel Services Production Office of Office of Office of Office of Office of 

Industries Economics Data Nomenclature, Investigations 

Systems Valuation, 

and Related 

Activities 
appendix a 

SUMMARY OF PRINCIPAL ACTIVITIES OF THE 

U.S. INTERNATIONAL TRADE COMMISSION, 

FISCAL YEARS 1976-79 

Percentage distribution of employee compensation 

Executive direction and administration. 

Basic research; trade agreements activities; 

reports on production and imports of chemical products; summaries of trade and tariff 

information; tariff classification and enumera- tion; section 22 of the Agricultural Adjustment 

Act. 

Furnishing information and technical assist· 

ance to the Congress, other agencies, and 

the public. 

Investigating unfair import practices under 

sections 303 and 337 of the Tariff Act of 1930; 

section 603 of the Trade Act of 1974; and 

miscellaneous studies. 

Investigations under the Antidumping Act, 

1921, as amended. 

Investigations under section 332 of the Tariff 

Act of 1930; special studies. 

Investigations under sections 201 and 406 of 

the Trade Act of 1974. 

Investigation on the probable economic effects 

of granting concessions during multilateral 

trade negotiations or granting duty-free treat- ment through implementation of the Generalized System of Preferences. 

39 
40 

REPORTS SUBMITTED ON PROPOSED LEGISLATION 

1. H.R. 116 (Mr. Bafalis)-To amend section 8e of the Agricultural Adjustment Act of 

1933, as reenacted and amended by the Agricultural Marketing Agreement Act of 

1937, to subject imported tomatoes to restrictions comparable to those applicable 

to domestic tomatoes. June 14, 1979. 

2. H.R. 297 (Mr. Drinan)-To suspend for two years the duty on wood excelsior imported from Canada. April 19, 1979. 

3. H.R. 593 (Mr. Mitchell)-To amend the Tariff Schedules of the United States in 

order to increase the rate of duty on certain boxes, cases, and chests lined with textile fabrics. July 19, 1979. 

4. H.R. 802 (Mr. White)-To extend from eight months to twenty-four months the 

period in which domesticated animals may pasture in foreign countries and be accorded duty-free status upon reentry into the United States. 

5. H.R. 1076 (Mr. Pickle, et al.)-To modify the method of establishing quotas on the 

importation of certain meat, to include within such quotas certain meat products, 

and for other purposes. May 4, 1979. 

6. H.R. 1212 (Mr. Fuqua)-For the relief of the University of Florida, Gainesville, 

Florida. May 4, 1979 (Ways and Means Committee), and October 15, 1979 (Finance 

Committee). 

7. H.R. 1319 (Mr. Akaka, et al.)-To extend the period for duty-free entry of a 

3.60-meter telescope and associated articles for the use of the Canada-FranceHawaii Telescope Project at Mauna Kea, Hawaii. June 12, 1979 (Ways and Means 

Committee), and October 15, 1979 (Finance Committee). 

8. H.R. 1436 (Mr. Preyer, et al.)-To suspend until the close of June 30, 1980, the duty 

on certain nitrocellulose. July 10, 1979. 

9. H.R. 1457 (Mr. Rangel)-To amend the Tariff Schedules of the United States to prohibit the importation of coal and of certain articles of uranium, if the product of the 

Union of South Africa. October 18, 1979. 

10. H.R. 1587 (Mr. Frenzel)-To suspend the duty on gypsum building boards and lath 

until the close of June 30, 1981. March 23, 1979. 

11. H.R. 1660 (Mr. Duncan)-To continue until the close of June 30, 1981, the existing 

suspension of duties on certain forms of zinc. March 7, 1979. 

12. H.R. 2297 (Mr. Duncan)-To continue until the close of June 30, 1982, the existing 

suspension of duties on synthetic rutile. March 27, 1979 (Ways and Means Commit· 

tee), and October 15, 1979 (Finance Committee). 

13. H.R. 2492 (Mr. Jenkins)-To correct an anomaly in the rate of duty applicable to articles of apparel in which feathers or downs are used as filling and to extend until 

June 30, 1984, the duty provisions applicable to crude feathers and downs. May 4, 

1979 (Ways and Means Committee), and October 31, 1979 (Finance Committee). 

14. H.R. 2535 (Mr. Albosta, et al.)-To amend the Tariff Schedules of the United States 

to suspend for a temporary period the duty on certain alloy tool steels used for making chipper knives. April 19, 1979 (Ways and Means Committee), and November 5, 

1979 (Finance Committee). 

15. H.R. 2537 (Mr. Bauman, et al.)-To suspend until December 31, 1982, a portion of 

the duties on strontium nitrate. July 26, 1979 (Ways and Means Committee), and 

December 3, 1979 (Finance Committee). 

16. H.R. 2580 (Mr. Shelby)-To suspend for a three-year period the duty on 2·Methyl, 

4·chlorophenol. July 13, 1979. 

17. H.R. 2703 (Mr. Shannon)-To provide duty-free treatment to certain dyeing and 

tanning materials. April 12, 1979 (Ways and Means Committee), and November 16, 

1979 (Finance Committee). 
18. H.R. 2727 (Mr. Ullman, et al.)-To modify the method of establishing quotas on the 

importation of certain meat, to include within such quotas certain meat products. 

May 25, 1979. 

19. H.R. 3046 (Mr. Fithian, et al.)-To suspend the duty on freight cars until the close of 

June 30, 1981. July 25, 1979 (Ways and Means Committee), and December 6, 1979 

(Finance Committee). 

20. H.R. 3122 (Mr. Vanik)-Relating to the tariff treatment of certain articles: (1) Dyeing 

and Tanning Materials, (2) Wool Excelsior, (3) Nitrocellulose, (4) 2-Methyl, 

4-chlorophenol, (5) Ceramic Insulators, and (6) Zinc. October 24, 1979 (Finance 

Committee). 

21. H.R. 3127 (Mr. Charles Wilson-Tex.)-To reduce temporarily the rate of duty on 

ceramic insulators used in spark plugs. July 10, 1979. 

22. H.R. 3207 (Mr. Rostenkowski)-To suspend the duties on certain bicycle parts and 

accessories until the close of June 30, 1983. August 16, 1979 (Ways and Means 

Committee), and October 31, 1979 (Finance Committee). 

23. H.R. 3317 (Mr. Devine)-For the relief of Ohio Wesleyan University, Delaware, 

Ohio. September 27, 1979 (Ways and Means Committee), and October 30, 1979 

(Finance Committee). 

24. H.R. 3352 (Mr. Rostenkowski, et al.)-To provide for the temporary suspension of 

duty on the importation of fluorspar. July 13, 1979 (Ways and Means Committee), 

and December 3, 1979 (Finan.ce Committee). 

25. H.R. 3993 (Mr. Duncan)-To continue until the close of June 30, 1982, the existing 

suspension of duties on manganese ore (including ferruginous ore) and related 

products. August 24, 1979. 

26. H.R. 3403 (Mr. Mikva, et al.)-To implement the Convention on the Means of Prohibiting and Preventing the Illicit Import, Export, and Transfer of Ownership of 

Cultural Property. June 27, 1979. 

27. H.R. 3591 (Mr. Vander Jagt)-To reduce temporarily the duty on titanium sponge. 

July 13, 1979 (Ways and Means Committee), and November 6, 1979 (Finance Committee). 

28. H.R. 3728 (Mr. Gibbons)-To repeal the statutory authority to impose quotas on 

certain imported meat and meat products. June 21, 1979. 

29. H.R. 3755 (Mr. McKinney)-For the relief of St. Paul's Episcopal Church, Riverside, 

Conn. July 3, 1979 (Ways and Means Committee), and October 30, 1979 (Finance 

Committee). 

30. H.R. 4147 (Mr. Guarini)-To amend the Tariff Schedules of the United States to provide a temp:->rary suspension of the duty on certain alloys of cobalt. July 10, 1979 

(Ways and Means Comrnittee), and November 16, 1979 (Finance Committee). 

31. H.R. 4309 (~r. Benjamin, et al.)-To amend the Tariff Schedules of the United 

States to provide for !he proper classification of cold finished steel bars; and for 

other purposes. November 2, 1979 (Finance Committee). 

32. H.R. 4385 (Mr. Neal)-For the relief of Wake Forest University, Winston-Salem, 

N.C. August 9, 1979 (Ways and Means Committee), and October 30, 1979 (Finance 

Committee). 

33. H.R. 4738 (Mr. Crane)-To reduce temporarily the duty on titanium sheet, plate, 

and other rolled titanium products. November 23, 1979 (Finance Committee), and 

November 28, 1979 (Ways and Means Committee). 

34. H.R. 4739 (Mr. Downey)-To suspend for a three-year period the duty on pillow 

buns of latex foam. July 26, 1979 (Ways and Means Committee), and November 5, 

1979 (Finance Committee). 

35. H.R. 4800 (Mr. Drinan)-To extend duty-free treatment to synthetic tantalum/ 

columbium concentrate. September 19, 1979 (Ways and Means Committee), and 

November 14, 1979 (Finance Committee). 

36. H.R. 4954 (Mr. Duncan-Tenn.)-To continue until the close of June 30, 1982, the 

existing suspension of duties on manganese ore (including ferruginous ore) and 

related products. November 21, 1979 (Finance Committee). 

37. H.R. 5065 (Mr. Lederer)-For the relief of the Chinese Cultural and Community 

Center of Philadelphia, Pennsylvania. November 26, 1979. 

41 
38. S. 55 (Mr. Bentsen, et al.)-To modify the method of establishing quotas on the importation of certain meat, to include within such quotas certain meat products, and 

for other purposes. May 4, 1979. 

39. S. 424 (Mr. Matsunaga, et al.)-To extend the period for duty-free entry of a 

3.60-meter telescope and associated articles for the use of the Canada-FranceHawaii Telescope Project at Mauna Kea, Hawaii. March 23, 1979. 

40. S. 1004 (Mr. Bentsen, et al.)-To suspend the duty on freight cars until the close of 

June 30, 1981. July 25, 1979. 

41. S. 1103 (Mr. Bentsen)-To amend the Tariff Schedules of the United States with 

respect to certain civil aircraft. November 26, 1979. 

42. S. 1111 (Mr. Heinz)-To continue until the close of June 30, 1982, the existing 

suspension of duties on manganese ore (including ferruginous ore) and related 

products. August 24, 1979. 

43. S. 1258 (Mr. Cochran)_:_ To correct an anomaly in the rate of duty applicable to articles of apparel in which feathers or downs are used as filling and to extend until 

June 30, 1984, the duty provisions applicable to crude feathers and downs. 

September 26, 1979. 

44. S. 1536 (Mr. Heinz)-For the relief of the Chinese Cultural and Community Center 

of Philadelphia, Pa. November 26, 1979. 

45. S. 1738 (Mr. Matsunaga)-To amend the Tariff Schedules of the United States to 

repeal the duty on certain field glasses and binoculars. November 9, 1979. 

42 
KEY STATUTES INVOLVING THE 

U.S. INTERNATIONAL TRADE COMMISSION 

Sec. 201, Trade Act of 1974 (Escape-Clause Investigations), 

Import Relief for Domestic Industries 

When: The Commission conducts investigations upon its own motion or upon petition on behalf of a firm, a group of workers, or other 

entity representative of an industry to determine whether an article is 

being imported in such increased quantities as to be a substantial 

cause of serious injury, or the. threatthereof, to .the domestic industry 

producing an article like or directly competitive with the imported article. 

Duration: The investigation must be completed not later than 6 

months after being instituted. 

Finding: If the Commission's finding is affirmative it must recommend a remedy to the President, who has discretion to take action to 

provide import relief, such as an increase in duties, the establishment 

of quantitative restrictions, the negotiation of orderly marketing 

agreements, or specified types of adjustment assistance to groups of 

workers, firms, or communities. 

Followup: The Commission reports with respect to developments 

within an industry that has been granted import relief and advises the 

President of the probable economic effect of the reduction or the 

elimination of the tariff increase that has been granted. 

Sec. 337, Tariff Act of 1930 

(Investigations of Unfair Practices in Import Trade) 

When: The Commission, after receipt of a complaint under oath 

from an interested party or upon its own motion, conducts investigations to determine whether unfair methods of competition or unfair 

acts are occurring in the importation of articles into the United States 

or in their sale. 

Duration: The investigation must be completed in no more than 1 

year, or 18 months in a more complicated case, after the date of 

publication of notice of investigation in the Federal Register. 

Finding: If the Commission determines that the importation of 

such articles is such that the effect or tendency is to destroy or 

substantially injure an efficiently and economically operated industry, 

or to prevent the establishment of such an industry, or to restrain or 

43 
monopolize trade and commerce, it may issue orders excluding the articles from entry or issue cease and desist orders. The President may 

disapprove these actions within 60 days after issuance of the Commission's determination. 

Sec. 201 (a), Antidumping Act, 1921 (Antidumping Investigations), 

Imports Marketed at Less Than Fair Value1 

·When: The Commission, after a finding by the Secretary of th_e 

Treasury that sales of imported articles are at less than fair value, conducts investigations to determine whether an industry in the United 

States is being or is likely to be injured, or is prevented from being 

established, as a result of such sales. 

Duration: The investigation must be completed within 3 months 

of the receipt of advice from the Department of the Treasury. 

Finding: If the Commission's determination is affirmative, the 

Secretary of the Treasury imposes a dumping duty on imports of the 

articles in question. 

Sec. 332, Tariff Act of 1930 (General-Purpose Investigations) 

When: Upon official request or upon its own motion, the Commission initiates a factfinding investigation on any matter involving tariffs 

and international trade. This broad provision allows the Commission to 

investigate trade matters of immediate concern to the Government 

and the public. 

Duration: Unless otherwise directed, the Commission 

establishes an administrative deadline. 

Finding: Unless the President or the Congress directs otherwise, 

the Commission's reports are made available to all interested parties, 

the general public, the President and executive departments, and the 

Congress. 

Sec. 22, Agricultural Adjustment Act, Import 

Interference With Agricultural Programs 

The Commission conducts investigations at the direction of the 

President to determine whether any articles are being or are practically certain to be imported into the United States under such conditions 

and in such quantities as to materially interfere with programs of the 

Department of Agriculture for agricultural commodities or products 

'Effective Jan. 1, 1980, the Antidumping Act, 1921, was replaced and repealed by title 

VII of the Tariff Act of 1930. Also contained in title VII and effective Jan. 1, 1980, was a 

new countervailing duty law which added the requirement of a Commission determina· 

tion regarding injury to a domestic industry before imposition of countervailing duties. 

44 
thereof, or to reduce substantially the amount of any product processed in the United States from such commodities or products, and 

makes findings and recommendations to the President. The President 

may restrict the imports in question by imposition of either import fees 

or quotas. 

OTHER AREAS OF INVOLVEMENT BY STATUTE 

Bestowal of Bounties or Grants on Imports 

The Commission determines, with respect to any duty-free article 

on which the Secretary of the Treasury has determined that a bounty 

or grant is being paid, whether an industry in the United States is being 

or is likely to be injured, or is prevented from being established, by 

reason of the importation of such article. (Sec. 303, Tariff Act of 1930; 

46 Stat. 687.) 

Uniform Statistical Data 

The Commission, in cooperation with the Secretary of the Treasury 

and the Secretary of Commerce, establishes for statistical purposes 

an enumeration of articles imported into the United States and exported from the United States, and seeks to establish comparability of 

such statistics with statistical programs for domestic production. 

In conjunction with such activities, the Commission and the 

Secretary of Commerce are to identify concepts underlying the formulation of an international commodity code for reporting transactions in international trade and to report thereon to the Congress. (Sec. 

484(e), Tariff Act of 1930, 19 U .S.C. 1484(e); sec. 608, Trade Act of 

1974.) 

Tariff Schedules of the United States Annotated 

The Commission issues a publication containing ·-.·U.S. tariff 

schedules and related material and considers questions concerning 

the arrangement of such schedules and the classification of articles. 

(Sec. 201, Tariff Classification Act of 1962, 76 Stat. 74; secs. 332(a) 

and 484(e), Tariff Act of 1930, 19 U .S.C. 1332(a) and 19 U.S.C. 

1484(e).) 

Tariff Summaries 

The Commission prepares and publishes, from time to time, a series 

of summaries of trade and tariff information. These summaries contain descriptions (in terms of the Tariff Schedules of the United States) 

of the thousands of products imported into the United States, methods 

45 
of production, and the extent and relative importance of U.S. consumption, production, and trade, together with certain basic factors 

affecting the competitive position and economic health of domestic industries. (Sec. 332, Tariff Act of 1930; 19 U.S.C. 1332.) 

Advice Concerning Trade Negotiations 

The Commission advises the President as to the probable economic 

effect on domestic industries and consumers of modification of duties 

and other barriers to trade which may be considered for inclusion in 

any proposed trade agreement with foreign countries. (Sec. 131, 

Trade Act of 1974; 19 U.S.C. 2151.) 

Generalized System of Preferences 

With respect to articles which may be considered for duty-free 

treatment when imported from designated developing countries, the 

Commission advises the President as to the probable economic effect 

of the removal of duty on the domestic industry and on consumers. 

(Secs. 131 and 503, Trade Act of 1974; 19 U.S.C. 2151, 2163.) 

East-West Trade Monitoring System 

The Commission monitors imports into the United States from nonmarket economy countries and makes a report not less frequently 

than once each calendar quarter on the effect of such imports on the 

production of like or directly competitive articles in the United States 

and on employment within the industry. (Sec. 410, Trade Act of 197 4; 

19 U.S.C. 2440.) 

Trade With Communist Countries 

The Commission makes investigations to determine whether increased imports of an article produced in a Communist country are 

causing market disruption in the United States. If the Commission's 

determination is in the affirmative, the President may take the same 

action as in a case involving injury to an industry, except that the action would apply only to imports of the article from the Communist 

country. (Sec. 406, Trade Act of 197 4; 19 U .S.C. 2436.) 

-:, U.S. GOVERNMENT PRINTING OFFICEo 1980 0--323-630 

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United States 

International 

Trade 

ColllDlismon 

Annual Report 

1979 
United 

States 

International 

Trade 

Commission 

COMMISSIONERS 

Bill Alberger, Chairman 

Michael J. Calhoun, Vice Chairman 

George M. Moore 

Catherine Bedell 

Paula Stern 

Kenneth R. Mason 

Secretary to the Commission 

Address all communications to 

United States International Trade Commission 

Washington, D.C. 20436 

USITC PUBLICATION 1084 

Photo credits: Outside back cover and investigative hearings, Hal Sundstrom; page iii, Teresa Zabala. New York 

Times; Trade Agreements Act of 1979 signing ceremony, 

The White House; and Multilateral Trade Negotiations protocol signing ceremony, Geneva. International Communications Agency 

For sale by the Superintendent of Documents 

U.S. Government Printing Office 

Washington. D.C. 20402 

ii 
~ 

(f(~( 

Members of the Commission, left to right: Commissioners Michael J. Calhoun, Bill Alberger, Catherine Bedell, Paula Stern, 

and George M. Moore. 

iii 

message from the chairman 

During fiscal year 1979, the International Trade Commission was 

engaged in an unusually wide range of activities pertaining to international trade. We look back on the results of this work with a sense of 

pride and accomplishment. 

The Commission's professional staff made a number of contributions to the Multilateral Trade Negotiations, which were concluded in 

Geneva, Switzerland, in 1979. Abroad, our technical experts provided 

specialized on-the-scene assistance to the U.S. negotiating team. At 

home, Congress requested the Commission to analyze the impact and 

possible economic effect of the various tariff-cutting agreements and 

the proposed new codes devised by the United States and its trading 

partners to reduce nontariff barriers to trade. The 24-volume report 

which resulted from this request assisted Congress in its review of the 

proposed trade agreements and the implementing legislation, which 

was passed into law as the Trade Agreements Act of 1979. 

At the same time, the Commission sustained a substantial caseload. We completed 62 investigations, including 26 antidumping and 

19 unfair trade practices cases. Also, we responded to a multitude of 

requests from the President, Members of Congress, and the public. 

This work included in-depth studies on international trade trends, as 

well as expert analysis on commodities and legislative proposals. 

As the fiscal year ended, the Commission began advance preparations for handling one of the heaviest caseloads in its 64-year history. 

This involved the hiring and training of additional professional personnel and the realinement of its organization to carry out the new responsibilities assigned to it by Congress. We also began to make longrange plans to identify future issues for study that will contribute to the 

development of a soundly based international trade policy. 

June 16, 1980 

Catherine Bedell 

Chairman 

v 

contents 

Summary of activities .............. . 

Introduction ............ . 

Public investigations ....... . 

Trade Agreements Act of 1979 

Trade Act of 197 4: 

Advice to the President 

Relief from injury caused by import competition .. 

Litigation arising in connection with section 201 of 

theTrade Act of 197 4 ......... . 

Market disruption investigation .............. . 

East-West trade statistics monitoring system ... . 

Preliminary investigation under section 603 of the 

Trade Act of 1974. . ......... . 

Tariff Act of 1930, as amended: 

Countervailing duty investigations ... 

General investigations .... 

Unfair trade practices . . . . . . ............. . 

Litigation arising from investigations conducted 

under section 337 . . . . ..... . 

Antidumping Act, 1921, as amended: 

Provisions of the Antidumping Act . . ..... . 

Inquiries under section 201(c)(2) of the Antidumping 

Act........ . ............ . 

Litigation arising from investigations conducted 

under the Antidumping Act 

Other activities: 

Trade agreements program .. 

Multilateral Trade Negotiations .. 

Formal documentation for U.S. tariff offers and 

concessions . . . . .............. . 

MTN implementing legislation ............. . 

Implementation of tariff concessions ........ . 

Generalized System of Preferences ............... . 

Executive branch review of Commission reports 

Uniform statistical data on imports, exports, and 

production: 

Activities under section 484(e) of the Tariff Act of 

1930 ............ ~ ...................... . 

Harmonized Commodity Code ..................... . 

Preparation of the Tariff Schedules of the United States 

Annotated .................................. . 

1 

3 

5 

5 

5 

5 

7 

8 

8 

8 

8 

9 

10 

13 

14 

16 

16 

25 

25 

26 

27 

27 

28 

28 

29 

29 

30 

vii 
Other activities-Continued 

Periodic reports on commodities: 

Synthetic organic chemicals .. 

Annual reports ... 

Monthly reports .......... . 

Quantitative determinations 

Other periodic reports . 

Summaries of trade and tariff information . 

Assistance to the Congress ... . 

New York City field office .......... . 

Administration and finances: 

Organization of the Commission 

Membership of the Commission ....... . 

Sources of information ......... . 

Employment and appropriations . . . . . . . . ........ . 

Appendix A. Summary of principal activities of the U.S. 

International Trade Commission, fiscal years 1976-79 .... 

Appendix B. Reports submitted on proposed legislation. 

Appendix C. Key statutes involving the U.S. International 

Trade Commission . . ...... . 

viii 

30 

30 

31 

31 

32 

32 

33 

33 

35 

35 

36 

36 

39 

40 

43 
summacy of activities 

Investigations Completed 

Title 11, Tariff Act of 1930: 

Sec. 303 countervailing duty investigations . . . . . . . . . . . 7 

Sec. 332 investigations . . . . . . . . 4 

Sec. 337 investigations of alleged unfair practices 

in importation and sale of imported products . . . . . . . . 19 

Antidumping Act, 1921, as amended (sec. 201 (a) 

and 201{c)(2)) . . . . . . . . . . . . . . . . 26 

Trade Act of 197 4: 

Sec. 503 advice on possible trade agreement 1 

Sec. 201 "escape clause" cases. . . . . . . . . . . 3 

Sec. 203 "review" case . . . . . . . . . ...... . 

Sec. 603 preliminary investigation . . . . . . . . . . . . . 1 

Total . . . . . . . . . . . . . . . . . . . . . . . . 62 

Other Activities 

Publications issued (in addition to reports on 

investigations): 

Synthetic organic chemicals, production and sales . 

Benzenoid chemicals, imports . . ........ . 

Responses to letters from Members of Congress and 

congressional committees ................. . 

Import and export transactions analyzed .. 

Library transactions: 

Volumes circulated ..... . 

Reference calls ..... 

Reports prepared on proposed legislation 

Reports prepared on specified commodities ..... 

Reports prepared on East-West trade 

Summaries of trade and tariff information 

13 

500 

145,000 

75,000 

10,000 

30 

27 

4 

3 

introduction 

In the thorough economic scrutiny of the commodities it investigated, the Commission used its research, investigative, determinative, 

and remedial resources to fulfill its role as an independent agency 

with quasi-judicial responsibilities. To get the facts and to insure that 

all sides to an issue are heard, extensive fieldwork was completed, 

and scores of public hearings were held in Washington, D.C. 

As a factfinding agency, the Commission has broad powers to study 

and investigate-

• All factors relating to U.S. foreign trade and its effect on domestic 

production, employment, and consumption; and 

• The competitiveness of U.S. products. 

The Commission's mission is to contribute to the development of 

U.S. international trade policy in a manner that is soundly based and 

as equitable as possible to all concerned. By statute, the Commission 

may act on its own initiative or at the request of the President, the 

Committee on Finance of the U.S. Senate, or the Committee on Ways 

and Means of the U.S. House of Representatives. 

The Commission staff numbers about 370 individuals who represent 

a divergence of professions, including attorneys, economists, investigators, commodity analysts, and data system programers. Their 

primary function is to gather facts and evaluate data to assist the 

Commission in its determinations. 

Commission activities cover a broad range of responsibilities, including-

• Investigating eligibility of and recommending appropriate import 

relief for domestic industries. 

• Taking action against unfair practices in import trade, including 

the importation and sale of items at less than fair value or the importation of items whose production or export was subsidized by 

a foreign government. 

• Conducting studies on trade and tariff issues relating to U.S. 

foreign trade. 

• Assisting in the development of uniform statistical data to 

achieve comparability of import, export, and domestic production 

statistics. 

The Commission receives opinions and comments on trade and 

policies. It also provides technical and factual information on trade 

matters. Through public hearings and by other means, the views of interested and affected parties such as labor, industry, agriculture, importers, and consumers are represented, considered, and evaluated 

in providing the Commission's technical assistance and advice to the 

President and the Congress. 

3 

public investigations 

The U.S. International Trade Commission is 

authorized by law to investigate all aspects of international trade involving the United States. 

During fiscal 1979, investigations were conducted under provisions of the Trade Agreements Act of 1979, the Trade Act of 197 4, the 

Tariff Act of 1930, as amended, and the Antidumping Act, 1921, as amended. 

TRADE AGREEMENTS ACT OF 19791 

The Commission, following receipt on August 

10, 1979, of a request from the Special Representative for Trade Negotiations, instituted an investigation under section 225 of the Trade 

Agreements Act of 1979 with respect to the dutiable status of certain benzenoid chemical im-

. ports from Switzerland and the European Community. 

'The Trade Agreements Act of 1979 contains a new 

tariff nomenclature for benzenoid chemicals with rates of 

duty adjusted to reflect the adoption by the United States 

of a revised system of customs valuation based principally upon transaction value. Under section 225 of the act, 

the President is authorized to proclaim modification of the 

article descriptions in subparts B and C of part 1 of 

schedule 4 of the Tariff Schedules of the United States in 

order to transfer articles within those provisions. The 

President may not make modification unless the Commission determines that (1) the chemical or product was not 

valued for customs purposes on the basis of American 

selling price upon entry into the United States during a 

period determined by the Commission to be representative, and (2) a rate of duty provided for in such subparts, 

other than the rate of duty that would apply but for this 

section, is more appropriate and representative for such 

chemical or product. 

As the fiscal year ended, the Commission was 

reviewing a list of chemicals of which the United 

States was notified by Switzerland and the European Community with regard to the U.S. customs 

treatment of each chemical during 1976, 1977, 

and 1978. 

'Public Law 96-39, approved July 26, 1979. 

TRADE ACT OF 19742 

Advice to the President 

Section 503' of the Trade Act of 1974 requires that the 

President, from time to time, furnish the Commission with 

lists of articles which may be provided duty-free treatment under provisions of a Generalized System of 

Preferences. The Commission must then advise the President as to the probable economic effect on industries and 

on consumers of granting these preferences for each article listed if imported from countries designated by the 

President as beneficiary developing countries. 

The Special Representative for Trade Negotiations, on March 9, 1979, furnished the Commission with a list of articles to be considered for 

inclusion in the Generalized System of Preferences. The Commission initiated investigations 

Nos. TA-503(a)-5 and 332-104 on March 27, 

1979, and transmitted its report to the President 

on September 10, 1979. 

Relief From Injury Caused by Import 

Competition 

Section 201• of the Trade Act of 1974 provides means 

whereby relief may be sought for the purpose of facilitating orderly adjustment to import competition. A trade 

association, firm, certified or recognized union, or group 

of workers or other entity which is representative of an industry may file a petition for import relief. When petitioned, the Commission is required to determine whether 

an article is being imported into the United States in such 

increased quantities as to be a substantial cause of 

serious injury, or the threat thereof, to a domestic industry producing an article like or directly competitive 

with the imported article. If the Commission determines in 

the affirmative, it must find the amount of the increase in, 

or imposition of, any duty or restriction on such article 

which is necessary to prevent or remedy such injury, or 

recommend the provisions of adjustment assistance to 

firms, workers, or communities. Under section 203, if the 

'Public Law 93-618, approved Jan. 3, 1975. 

'19 U.S.C. 2463. 

•19 U.S.C. 2251. 

5 
President determines to provide import relief for the industry, he shall (1) proclaim an increase in, or imposition 

of, a duty on the article concerned; (2) proclaim a tariffrate quota; (3) impose or modify a quantitative restriction 

on imports; (4) negotiate an orderly marketing agreement; 

or (5) take any combination of such actions. If the President does not provide relief in the form recommended by 

the Commission, the Congress can, by approval of a concurrent resolution, override the President's action; under 

section 203(c)(2) the President is then required to implement the Commission's recommended relief. 

During fiscal 1979, the Commission completed three investigations under section 201 

within the 6-month statutory time limit. Table 1 

shows information on the investigations completed during the year. 

Three section 201 investigations were in progress at the close of the year, as shown in table 2. 

Section 203(i)5 of the Trade Act of 197 4 in part 

provides that-

'19 U.S.C. 2253. 

Upon request of the President or upon its own motion, 

the Commission shall advise the President of its judgment 

as to the probable economic effect on the industry concerned of the extension, reduction, or termination of the 

import relief provided pursuant to this section. 

Upon petition on behalf of the industry concerned, filed 

with the Commission not earlier than the date which is 9 

months, and not later than the date which is 6 months, 

before the date any import relief provided pursuant to this 

section or section 351 or 352 of the Trade Expansion Act 

of 1962 is to terminate by reason of the expiration of the 

initial period therefor, the Commission shall advise the 

President of its judgment as to the probable economic effect on such industry of such termination. 

During fiscal 1979, the Commission, upon 

receipt of a request from the Tool & Stainless 

Steel Industry Committee and the United Steelworkers of America, AFL-CIO, conducted one 

section 203 investigation. The request for the investigation (No. TA-203-5) was received on 

November 30, 1978, and the public hearing was 

held on March 6, 1979. 

Table 1.-lnvestigations completed under sec. 201 of the Trade Act of 1974, fiscal year 1979 

Investigation Article Petitioner 

No. concerned or requester 

TA-201·36 Clolhespins. (') 

TA-201-37 . Bolls, nuts, House Committee on Ways 

and large and Means. 

screws of 

iron or 

steel. 

TA·201·38 Certain The Torringlon Co .. 

machine 

needles. 

Petition Public Finding of 

or request hearing Commission 

Commissioners' 

votes 

filed Affirmative Negative 

Nol 

participating 

- 10· 5·78 Affirmative' Parker' 

6-9·78 9·11·78 

and 

9-12·78 

8·7·78 11·20·78 

and 

11·21-78 

Affirmative5 

Negative 

Alberger' 

Moore3 

Bedell' 

Moore0 7 

Bedell9 7 

Stern' 

Alberger9 Parker 10 

Parker 

Alberger 

Moore 

Bedell 

Stern 

Stern' 

, Commission instituted the investigation on its own motion on July 27. 1978. 

Commission's 

report 

To the USITC 

President Publication 

No. 

12-12·78 933 

11· 3·78 924 

2- 7-79 936 

'On Feb. 8. 1979. the President granted relief in lhe form of an import quota. The global quota will limil the importation of clothespins valued at no more than $1.70 a 

gross lo 2 million gross annually for 3 years. 

' Recommended the imposition of a 5·year quota of 3.2 million gross on U.S. imports of wood and plastic spring clothespins. The proposed quota, effective Jan. 1. 

1979, would be adminislered annually on a global basis and allocated by import-value brackets. 

'Commissioner Stern assumed her duties as a Cqmmissioner on Oct. 16, 1978, and was not a Commissioner at the time of the public hearing or during most of the in· 

vestigative period. 

•On Dec. 22. 1978, the President determined thal import relief in the form of 15·percent tariffs on iron or steel bolts, nuts, and large screws is in the national economic 

interest and therefore will proclaim this remedy. Under this remedy, tariffs will remain at 15 percent for large screws (including lag screws) and 15 percent plus the current tariff of 0.2 and 0.1 cent per pound, respectively, for bolts and nuts for a 3-year period, after which time they will revert to their current levels (which range from less 

than 1 percent ad valorem equivalent to 12.5 percent). As required by statute, this relief must be implemented within 15 days of this determination. 

6 Finding the domestic industry threatened with serious injury. 

' Recommended that ad valorem rates of duty be imposed on all lhe articles at a level of about 20 percent during the first 2 years of imporl relief and 15, 10, and 10 percent. respectively, for the subsequent 3 years. 

' Finding serious injury already present. 

'Recommended no remedy. 

1

° Chairman Parker did not participate in the vote in order to avoid any possibility or appearance of conflict of interest. 

6 
Table 2.-lnvestigations under sec.'201 of the Trade Act 

of 1974 pending on Sept. 30, 1979 

Investigation 

No. Article 

TA-201·39 .. Nonelectric 

cooking ware. 

TA-201·40 .. Leather wearing 

apparel. 

TA-201-41 .. Certain fish. 

Petition or 

request 

received 

Origin 

5· 4·79 Petition by General Housewares 

Corp. 

7-24·79 Petition by National Outerwear and 

Sportswear Association, 

Amalgamated Clothing and 

Textile Workers Union. Inter· 

national Ladies' Garment 

Workers Union. and Tanners' 

Council of America, Inc. 

8·20·79 Petition by Fishermen's 

Marketing Association of 

Washington. Inc .. Seattle, 

Wash., and the Coast Draggers 

Association. Westport. Wash. 

In the Commission's report, 6 which was transmitted to the President on April 24, 1979, Commissioners Moore and Bedell advised the President that, in their opinion, termination of the 

quotas would have a serious adverse economic 

effect on the domestic industry. They said the 

recovery period of less than 3 years has been far 

too short, the industry has not yet sufficiently adjusted to the new conditions of competition, and 

the industry, despite much effort and progress 

during the relief period, needs more time to complete the adjustment process. Vice Chairman 

Alberger and Commissioner Stern advised the 

President that termination of the current quotas 

would have little, if any, adverse impact on U.S. 

producers. They stated that the domestic industry has adjusted successfully to import competition through the implementation of a modernization and rationalization of operations program 

which has made the stainless and alloy tool steel 

industry highly competitive with foreign producers. They also said that the economic health 

of the industry is exceptionally good and comparable with that in 1964, which was· the industry's historic peak year. All four Commissioners 

also suggested that if the President should 

decide to extend the quotas, he may wish to (1) 

increase the annual quota amounts, (2) provide 

"Stainless Steel and Alloy Tool Steel, Report to the Presi· 

dent on Investigation No. TA-203·5 .. . , USITC Publication 

968, 1979. 

for an equitable distribution of the quotas for 

countries that do not now have separate country 

quotas, and (3) provide for some solution for 

problems encountered by U.S. consumers of articles under quota that are not produced in the 

United States or are not produced in sufficient 

quantities in the United States to meet the demand. Chairman Joseph 0. Parker did not participate in the investigation in order to avoid any 

possibility or appearance of conflict of interest. 

On June 12, 1979, the President announced his 

decision to extend specialty steel import relief 

for 8 months in the form of temporary quantitative limitations through February 13, 1980. 

Litigation Arising in Connection With 

Section 201 of the Trade Act of 1974 

Litigation begun in 1977 challenging the validity of orderly marketing agreements negotiated 

that year by the President limiting footwear imports from Taiwan and the Republic of Korea 

continued through fiscal 1979. (Sneaker Circus, 

Inc., et al. v. Carter, et al., 2d Cir., Doc. No. 

78-6173.) The Commission was named as a party 

in that action. Plaintiffs alleged, among other 

things, that the Commission did not follow proper procedures in, and did not have a proper 

basis for, determining that "good cause" existed 

within the meaning of section 201(e) of the Trade 

Act of 197 4 (19 U .S.C. 2251 (e)) for instituting a 

new footwear investigation within 1 year of completing an earlier investigation. The new investigation, which was requested by the Senate Committee on Finance, was begun in October 1976, 

after the Commission found "good cause" to exist. As a result of the investigation, the Commission made a unanimous affirmative determination, and President Carter negotiated the orderly 

marketing agreements with Taiwan and the 

Republic of Korea. 

In September 1978 the U.S. District Court for 

the Eastern District of New York, where the action was first filed, found for the Government on 

the merits, finding, among other things, that the 

Commission had acted properly in deciding the 

good-cause question (457 F. Supp. 771). Plaintiffs appealed the district court decision to the 

7 
U.S. Court of Appeals for the Second Circuit. At 

the request of plaintiffs, the court of appeals 

remanded the matter to the district court in 

January 1979 for the consideration of new information concerning, among other things, the effect on the Taiwan agreement of U.S. recognition of the People's Republic of China. In May 

1979 the district court denied plaintiff's motion 

for relief from judgment, and the case reverted 

to the court of appeals. The case was still pending before the court of appeals at the end of the 

fiscal year; briefs were filed in September 1979. 

Market Disruption Investigation 

Section 406' of the Trade Act of 197 4 provides, in part, 

that upon the filing of a petition, upon request of the Presi· 

dent or the Special Representative for Trade Negotiations, upon resolution of either the Committee on Ways 

and Means of the House of Representatives or the Committee on Finance of the Senate, or on its own motion, the 

Commission shall make an investigation to determine, 

with respect to imports of an article which is the product 

of a Communist country, whether market disruption exists 

with respect to an article produced by a domestic industry. 

As fiscal 1979 ended, the Commission had 

one investigation pending under section 406 of 

the Trade Act of 197 4, concerning market disruption by imports of anhydrous ammonia from 

the U.S.S.R. (No. TA-406-5). The petition was 

filed on July 11, 1979, by Agrico Chemical Co., 

CF Industries, Inc., Center Plains Industries, Felmont Oil Corp., First Mississippi Corp., W. R. 

Grace & Co., International Minerals & Chemical 

Corp., Mississippi Chemical Corp., Olin Corp., 

Terra Chemicals International, Inc., Union Oil 

Co. of California, Vistron Corp., and Wycon 

Chemical Co. A public hearing was held by the 

Commission in Washington, D.C., on August 

29-31, 1979. 

East-West Trade Statistics Monitoring 

System 

8 

Section 41 o• of the Trade Act of 197 4 requires the 

Commission to establish and maintain a program to 

'19 U.S.C. 2436. 

819 u.s.c. 2440. 

monitor trade between the United States and the non· 

market economy countries, and to publish a detailed summary of the data collected under this program not less 

frequently than once every calendar quarter. 

The Commission submitted four reports on 

East-West trade to the Congress and the EastWest Foreign Trade Board in fiscal 1979 pursuant to section 41 O of the Trade Act of 197 4, as 

follows: 

1. 16th Quarterly Report to the Congress and the EastWest Foreign Trade Board on Trade Between the 

United States and the Nonmarket Economy Countries 

During July-September 1978 (December 1978, USITC 

Publication 934). 

2. 17th Quarterly Report to the Congress and the EastWest Foreign Trade Board on Trade Between the 

United States and the Nonmarket Economy Countries 

During 1978 (March 1979, USITC Publication 965). 

3. 18th Quarterly Report to the Congress and the EastWest Foreign Trade Board on Trade Between the 

United States and the Nonmarket Economy Countries 

During January-March 1979 (June 1979, USITC 

Publication 988). 

4. 19th Quarterly Report to the Congress and the EastWest Foreign Trade Board on Trade Between the 

United States and the Nonmarket Economy Countries 

During April-June 1979 (September 1979, USITC 

Publication 1005). 

Preliminary Investigation Under Section 6039 

of the Trade Act of 1974 

On November 9, 1978, the Commission instituted on its own motion a preliminary investigation (No. 603-TA-4) of unfair acts and practices 

of Connecticut Valley Arms, Inc .. in the importation of Spanish firearm components. Subsequently, the company entered into a consent 

order agreement which directed it to cease and 

desist from labeling and advertising its "Mountain Rifle" and "Mountain Pistol" as "Made in 

the U.S.A." until such time as the articles are 

substantially manufactured in the United States. 

TARIFF ACT OF 1930, AS AMENDED 

Countervailing Duty Investigations 

Section 30310 of the Tariff Act of 1930, as 

amended, provides that919 U.S.C. 2482. 1019 u.s.c. 1303. 
Whenever any country, dependency, colony, province, 

or other political subdivision of government, person, partnership, association, cartel, or corporation, shall pay or 

bestow, directly or indirectly, any bounty or grant upon 

the manufacture or production or export of any article or 

merchandise manufactured or produced in such country, 

dependency, colony, province, or other political subdivision of government, then upon the importation of such article or merchandise into the United States, whether the 

same shall be imported directly from the country of 

production or otherwise, and whether such article or 

merchandise is imported in the same condition as when 

exported from the country of production or has been 

changed in condition by remanufacture or otherwise, 

there shall be levied and paid, in all such cases, in addition to any duties otherwise imposed, a duty equal to the 

net amount of such bounty or grant, however the same be 

paid or bestowed. 

In the case of any imported article or merchandise 

which is free of duty, duties may be imposed under this 

section only if there is an affirmative determination by the 

Commission under subsection (b)(1); except that such a 

determination shall not be required unless a determination of injury is required by the international obligations of 

the United States. 

During fiscal 1979, the Commission instituted 

and concluded seven investigations under section 303. They are summarized in table 3. 

General Investigations 

The Tariff Act of 1930 empowers the Commission to investigate and report on many aspects 

of U.S. foreign trade. Studies made under section 332 of the act are usually broader in scope 

and focus than other statutory investigations 

conducted by the Commission. 

Section 33i 1 of the Tariff Act of 1930 sets 

forth the Commission's authority to investigate, 

among other thingsThe administration and fiscal and industrial effects of the 

customs laws of this country; 

The relationships between rates of duty on raw materials 

and finished or partly finished products; 

The effects of ad valorem and specific duties and of compound (specific and ad valorerri) duties; 

All questions relative to the arrangement of schedules 

and classification of articles in the several schedules 

of the customs law; 

The operation of customs laws, including their relation to 

the Federal revenues and their effect upon the industries and labor of the country; 

The tariff relations between the United States and foreign 

countries, commerciai treaties, preferential provisions, 

and economic alliances; 

11 19 u.s.c. 1332. 

Table 3.-lnvestigations completed under sec. 303(b) of the Tariff Act of 1930, fiscal year 1979 

Commissioners' Commission's 

votes report 

Investigation Article concerned Advice Public Finding of 

No. received hearing Commission Affirmative Negative Not To Secretary USITC 

from partici- of Publication 

Treasury pa ting Treasury No. 

303-TA-4 and 5 .. Yarns of wool from Uruguay 11-22·78 1- 9-79 Negative Parker 2-12-79 940 

and Brazil. Alberger 

Moore 

Bedell 

Stern 

303-TA-6 and 7 _ . Certain leather wearing 11-22-78 1- 9-79 Negative Parker Alberger 2·22·79 948 

apparel from Colombia and Bedell Moore 

Brazil. Stern 

303-TA-8. .. Gloves and glove linings of 11-22-78 1- 9-79 Negative Parker 2-16-79 941 

fur on the skin from Brazil. Alberg er 

Moore 

Bedell 

Stern 

303-TA·9. _ ..... Certain fish and certain 1· 9-79 2·27-79 Negative Parker 4- 9-79 966 

shellfish from Ganada. Alberg er 

Moore 

Bedell 

Stern 

303-TA-10. _ .. Oleoresins from India. 4- 4.79 5-22-79 Negative Parker Alberger 7- 5-79 989 

Moore 

Bedell 

Stern 

9 
The effect of export bounties and preferential transportation rates; 

The volume of importations compared with domestic production and consumption; and 

Conditions, causes. and effects relating to competition of 

foreign industries with those of the United States. 

. The Commission is required to make such reports as 

may be requested by the President, the House Committee 

on Ways and Means, the Senate Committee on Finance, 

or either House of Congress concerning such matters. 

During fiscal 1979, four investigations under 

section 332 of the Tariff Act of 1930 were completed by the Commission. as shown in table 4. 

The 12 investigations 'which were in progress at 

the close of fiscal 1979 are summarized in table 

5. The Commission initiated two research studies in fiscal 1979 under the authority of section 

332: International Technology Transfer: A 

Rf!view of Related Legal Issues (USITC Publication 935) was issued in January 1979 and a 

research study on import trends in TSUS items 

806.30 and 807.00 was pending as the fiscal 

year ended. 

Unfair Trade Practices 

Section 33712 of the Tariff Act of 1930 declares 

unlawful unfair methods of competition and unfair acts in 

the importation of articles into the United States. or in 

their sale by the owner. importer, consignee. or agent of 

1219 U.S.C. 1337. 

either. the effect or tendency of which is to destroy or 

substantially injure an industry, efficiently and economically operated, in the United States, or to prevent the 

establishment of such an industry, or to restrain or 

monopolize trade and commerce in the United States. It 

authorizes the Commission to investigate alleged violations of this section of the act. If the Commission determines that there is a violation of section 337, it has the 

power to issue an order excluding imports from entry into 

the United States and/or a cease and desist order, subject to disapproval by the President for policy reasons 

within 60 days of the Commission's issuance of its finding. Proceedings come within the provisions of the Administrative Procedure Act. There is a statutory time limit 

of 12 months (18 months for more complicated cases) in 

these investigations. 

Under the Tariff Act of 1930, as amended by 

the Trade Act of 197 4, section 337 cases under 

Commission investigation must be adjudicated 

in conformity with the formal notice and hearing 

provisions of the Administrative Procedure Act 

(5 U.S.C. 551). The presiding officer, who in most 

cases is one of two Commission Administrative 

Law Judges, conducts the hearing and renders a 

written recommended determination or decision, including findings of fact and conclusions 

of law on all contested issues, on the basis of the 

record in each case. In the performance of his or 

her adjudicative functions under the Administrative Procedure Act and consistent with the Commission's Rules of Practice and Procedure, the 

presiding officer holds prehearing conferences, 

issues subpoenas, rules on the evidence, and 

generally regulates the course ~f the hearing in 

Table 4.-lnvestigations completed under sec. 332 of the Tariff Act of 1930, fiscal year 1979 

Investigation 

No. 

Subject Origin 

USITC Publication 

No. Date 

332-87 Condilions of competition in the Western U.S. steel market between 

domestic and foreign steel products. 

Motion of the Commission... 951 (lnlerim) March 1979 

1004 (Final) Sep1ember 1979 

332-92 Baseline study of lhe lelephone swilchin.g equipment industry. Request from the Subcommittee on 946 February 1979' 

332·101 Agreemen1s being negotiated at the Multilaleral Trade Negotiations in 

Geneva. 

Trade of the House Committee 

on Ways and Means. 

Request from the Senate 

Committee on Finance and the 

House Committee on Ways and 

Means. 

332-104 and Presidenl's list of articles which may be designated as eligible articles for Request from the Special 

TA·503(a)-5. purposes of the Generalized System of Preferences. Representative for Trade 

Negotiations. 

'Submilled 10 the Subcommittee on Trade of the House Committee on Ways and Means. January 1979 (in confidence). 

(') 

(') 

'Submitted to the Senale Committee on Finance and the House Committee on Ways and Means, June 1979 (in confidence): certain portions of the report were released and published by lhe Sena1e Committee on Finance in August 1979. 

'Submilled to lhe Special Representative for Trade Negotiations. September 1979 (in confidence). 

10 
accordance with the strict statutory time limits 

prescribed in section 337 proceedings. 

Section 337 cases typically involve complex 

patent infringement and antitrust-e.g., predatory pricing-issues relating to alleged unfair 

acts or methods of competition incidental to the 

importation of articles into the United States or 

their sale, the effect or tendency of which is to 

destroy or substantially injure an industry, efficiently and economically operated, in the United 

States, or to prevent the establishment of such 

an industry, or to restrain or monopolize trade 

and commerce in the United States. Final Commission decisions in.these cases, which adopt, 

modify, or reverse the presiding officer's recommended determinations, are subject to disapproval within 60 days by the President for policy 

reasons and are thereafter appealable to the 

U.S. Court of Customs and Patent Appeals. 

During fiscal 1979, the Commission concluded 19 investigations under section 337, 

which are summarized in table 6. The 15 investigations pending on September 30, 1979, are 

summarized in table 7. 

Table 5.-lnvestigations under sec. 332 of the Tariff Act of 1930 pending on Sept. 30, 1979 

Investigation 

No. Subject 

332-73 .. Formulation of an international commodity code 

332-84 Quarterly statistical reports providing certain information on canned and 

frozen mu.shrooms. 

332·91 United States exports to the Soviet Union: past trends, recent 

developments, and future prospects. 

332-93 . Annual and quarterly statistical reports providing certain information on 

nonrubber footwear. 

332-94 . Annual and quarterly statistical reports providing certain information on 

stainless steel and alloy toot steel. 

332-95 Annual and quarterly statistical reports providing certain information on 

color television receivers. 

332-96 . Report on consumption of watches and watch movements, or modules. 

332·97 Report on consumption of broom corn brooms .. 

332·102 Competitive factors influencing world trade in integrated circuits. 

Origin 

Sec. 608(c)(1) of the Trade Act of 

of 1974. 

Request from the President 

Motion of the Commission. 

Request from the President 

(Presidential Proclamation 4510). 

Request from the President 

(Presidential Proclamation 4445). 

Request from ttie President 

(Presidential Proclamation 4511 ). 

Public Law 89-805 and the Tariff 

Schedules of the United States. 

Public Law 89-241 and Executive 

Order 11377. 

Request from the Subcommittee on 

International Trade of the 

Committee on Finance and the 

Subcommittee on International 

Finance of the Committee on 

Banking, Housing, aQd Urban 

Affairs. United States Senate. 

332·103 .Quarterly and annual surveys of certain bolts, nuts. and large screws of iron Request from the President 

332·105 

332·106 

or steel. (Presidential Proclamation 4632). 

Casein and its impact on the domestic dairy industry . Request from the House Committee 

on Ways and Means. 

Identification of chemicals for new tariff nomenclature for certain benzenoid Request from the Special 

chemicals. Representative for Trade 

Negotiations. 

USITC Publication 

No. 

931 

952 

978 

998 

929 

950 

980 

981 

997 

927 

942 

960 

961 

973 

996 

925 

939 

962 

971 

995 

967 

963 

979 

Date 

November 1978 

March 1979 

May 1979 

August 19l9 

November 1978 

March 1979 

May 1979 

May 1979 

August 1979 

November 1978 

February 1919 

March 1979 

March 1979 

May 1979 

August 1979 

November 1978 

February 1979 

March 1979 

May 1979 

August 1979 

March 1979 

April 1979 

March 1979 

May 1979 

1000 August 1979 

11 
Table 6.-lnvestigations completed under sec. 337 of the Tariff Act of 1930, fiscal year 1979 

Article 

concerned 

Complainant 

Doxycycline . __ ..... Pfizer. Inc., New York, N.Y. 

Certain skateboards and 

platforms therefor. 

Certain luggage procucts 

Richard L. Stevenson d.b.a. 

Makaha International, 

Los Angeles, Calif. 

.. Airway Industries, Inc., Ellwood City, Pa. 

Complaint 

filed 

4·13·78: 

4-21-78 

(amendment) 

11} 6·77: 

10·25·77 

(amendment) 

10·28·77: 

11-11·77 

(amendment) 

Monumental wood windows. . Wrand Industries, Inc., Chester, Pa 1· 3·78 

Certain electric slow cookers. Rival Manufacturing Co .. Kansas City, Mo. 12-20·77: 

4· 6·78 

(amendment) 

Certain centrifugal trash Hale Fire Pump Co., Conshohocken, Pa. 1- 9-78 

pumps. 

Certain roller units . . ___ . Presto Lock Co .. division of Walter Kidde 1-12-78 

& Co .. Inc., Elmwood Park, N.J. 

Certain combination locks .... Presto Lock Co., division of Walter 

Kidde & Co .. Inc .. Elmwood Park, N.J. 

Certain flexible foam sandals. Tiddies, Inc., Pasadena, Tex. 

Alternating pressure pads __ . Gaymar Industries, Inc., Orchard Park, 

N.Y .. and Medisearch PA, Inc .. 

Guayama, P.R. 

Certain attache cases . Samsonite Corp., Denver, Colo. _ 

Certain synthetic gemstones. Queensbury Opal Co., Ltd., 

Beechwood, Ohio. 

1·12·78 

1-18·78 

1·23·78 

1·30·78 

2- 9-78: 

3· 8·78 

(amendment) 

Date of 

publication 

of notice in 

Federal 

Register 

and No. 

5· 9·74, 

337·TA·3' 

11-11·77, 

337-TA·37 

11·30·77, 

337-TA-39 

2· 9·78, 

337·TA·40 

2· 9·78, 

337-TA·42 

2·14-78. 

337·TA·43 

2·14·78, 

337·TA-44 

2-16-78, 

337·TA-45 

2·17·78, 

337-TA-47 

2·23·78, 

337-TA-48 

3. 7·78, 

337·TA-49 

3·17-78, 

337-TA·50 

Certain cigarette holders . Spoon Ring Co., Los Angeles, Calif 2-21-78: 3-29-78, 

3· 8·78. 337·TA·51 

Certain swivel hooks 

and mounting brackets. 

Certain multicellular 

plastic film. 

Certain novelty glasses _ 

Certain thermometer 

sheath packages. 

Certain cattle whips 

Coats & Clark, Inc., Stamford, Conn. 

Sealed Air Corp .. Fair Lawn, N.J. 

Howw Manufacturing, Inc., and 

Plus Four, Inc., Carol Stream, Ill. 

Steridyne Corp., Riviera Beach, Fla. 

. Stockmer"s Inc., Lawton, Iowa. 

Certain fabricated steel plate Steel Plate Fabricators Association, 

products from Japan. Hinsdale, Ill. 

'Suspended on Aug. 13, 1975, and reactivated on Feb. 21, 1978. 

3·21·78, 

and 

3·22·78 

(amendments) 

5- 9-78: 

6· J.78 

(amendment) 

5-12-78 

5·25·78: 

6-14-78 

(amendment) 

6· 7·78 

7· 7-78 

8· 7·78 

2 The President took no action; exclusion order became final on Jan. 1, 1979. 

3 The President took no action; exclusion order became final on Apr. 16, 1979. 

•The President took no action: exclusion order became final on Apr. 22, 1979. 

5 Settlement agreement. 

'The President took no action: exclusion order became final on Aug. 29, 1979. 

1 The President took no action; exclusion order became final on Sept. 10, 1979. 

' The President took no action: exclusion order became final on Sept. 25, 1979. 

12 

6·14-78, 

337-TA·53 

6·29-78, 

337-TA·54 

7·11·78, 

337-TA-55 

7-25·78, 

337·TA·56 

8· 9·78, 

337-TA·57 

9·15·78, 

337·TA-58 

Public 

hearing 

9·23·74 

10·10·78 

5· 5·78 

and 

9·20·78 

12·13·78 

11-29-78 

12· J.78 

2- 1-78 

Finding and 

remedy of 

Commission 

Violation; exclusion 

order. 

No violation . . 

Violation: exclusion 

order. 2 

No violation: 

terminated. 

Violation: exclusion 

order. 

No violation. 

Violation: exclusion 

order. 3 

No violation 

Violation: exclusion 

order.• 

Terminated; no present 

violation.s 

No violation: terminated. 

No violation; terminated. 5 

2·21·78 No violation: terminated . 

No violation: terminated.s 

5·17-79 Violation: exclusion 

order.6 

6·14·79 Violation: exclusion 

order. 1 

6-28-79 Violation: exclusion 

order.8 

Terminated 

No violation 

Date orders USITC 

issued Publication 

No. 

4·12·79 964 

11-13·78 926 

11·30·78 932 

1· 8·79 

8· 9.79 994 

2·14·79 943 

2·14·79 944 

2·16-79 945 

2·2 J.79 947 

2-23·79 

3- 7-79 955 

3·20·79 957 

3·29·79 959 

6·14·79 983 

6·29·79 987 

7-11-79 991 

7·25·79 992 

8- 9-79 993 

1·24·79 
Table ?.-Investigations under sec. 337 of the Tariff Act of 1930 pending on Sept. 30, 1979 

Article Ccmplainant 

concerned 

Complaint 

liled 

Date of publication 

of notice in 

Federal Register 

and No. 

Public 

hearing 

Certain plastic fastener assemblies. . Dennison Manufacturing Co .. Framingham. Mass. 6·30-77 8-11-77. 

337-TA-36 

Certain apparatus for the continuous Southwire Co .. Carrollton, Ga .. 

production of copper rod. 

Pump top insulated containers . Aladdin Industries, Inc .• Nashville. Tenn. 

Certain automatic crankpin grinders . . .. Landis Tool Co., Waynesboro. Pa. _ 

Certain compact cyclotrons with a Cyclotron Ccrp .• Berkeley, Calif. 

pre-septum. 

Certain rotary scraping tools . . ... Thompson Tool Co., Inc., Norwalk, Conn. 

Certain precision resistor chips ... Vishay Intertechnology, Inc., Malvern, Pa. 

Certain high-voltage circuit interrupters Westinghouse Electric Ccrp., Pittsburgh, Pa. 

and components thereof. 

4-11-78 

9-25-78; 

10· 6-78 

(amendment) 

11-15-78; 

1 J.2g.79 

and 

12- 1-78 

(amendments) 

11·20·78 

12· 5-78; 

12-21·78 

and 

1- 3.7g 

(amendments) 

12-15·78 

5-22-78. 

337·TA-52 

11· 9·78. 

337-TA-59 

12·15-78, 

337·TA-60 

12·28·78. 

337-TA-61 

1-10-79, 

337-TA-62 

1-17-79. 

337-TA-63' 

3-28·79, 

337-TA-64' 

9·25-79 

Certain precision resistor chips .. . .. Societe Francaise de L'Electro-Resistance. Nice, France 

2-16-79; 

3- g.79 

(amendment) 

3·30·79; 6· 1-79, 

337-TA·65' 

Certain plaslic-molding apparatus and I. P. Container Corp., Paterson. N.J. 

components thereof. 

. 4-16-79. 

(amendment) 

4- 5-79; 

4-20-1g 

(amendment) 

5-10-79, 

337-TA-66 

·Certain inclined-field acceleration tubes High Voltage Engineering Ccrp., Burlington. Mass ... 

and components thereof. 

5-17-79; 

6- 1.7g 

(amendment) 

5-17-7g; 

6· 4-79 

(amendment) 

6-27'79, 

337-TA-67 

Certain surveying devices ..... Gammon Reel, Inc., San Francisco. Calif. 7- 5-79, 

337-TA-68 

Certain airtight cast-iron stoves .. Jotul, Inc., Oslo, Norway; Kristia Associates. Portland, Maine, 6-23-79; 

6-14-79 

(amendment) 

6- 5.7g; 

5.25.7g 

(amendment) 

7-12-79, 

and Jotul Stove Dealers of the United States. 337-TA-69 

Certain coat hanger rings International Coat Hanger Manufacturing Co., Garden Grove. 7·18·79, 

Calif. 337-TA-70 

Certain anaerobic impregnating Loctite Corp., Newington, Conn. 

compositions and components 

therefor. 

7.19.7g 8·31-79, 

337·TA·71 

'The Administrative Law Judge, pursuant to the authority delegated to her by the Ccmmission on May 1. 1979, consolidated investigations Nos. 337-TA-63 and 

337-TA-65. 

'Suspended on Oct. 4, 1979, until conclusion of the Patent and Trademark Oflice reissue proceeding. 

Litigation Arising From Investigations 

Conducted Under Section 337 

On January 12, 1979, Richard L. Stevenson, 

complainant in investigation No. 337-TA-37 (Certain Skateboards and Platforms Therefor), appealed to the U.S. Court of Customs and Patent 

Appeals the Commission's determination that 

there was no violation of section 337 in the importation or sale of certain skateboards in the 

United States.· The Commission had found that 

the patent at issue in the investigation was invalid. On December 20, 1979, the court reversed 

the Commission's determination of no violation 

and remanded the case to the Commission for 

action consistent with its opinion. 

On April 16, 1979, Hale Fire Pump Co., a complainant in investigation No. 337-TA-43 (Certain 

r,entrifugal Trash Pumps), appealed the Commission's determination that a patent in issue 

13 
had not been infringed and that thererwas no violation of section 337. The U.S. Court of Customs 

and Patent Appeals had scheduled briefing and 

oral argument by the close of the fiscal year. 

On May 10, 1979, Refractarios Monterrey S.A., 

a respondent in investigation No. 337-TA-41 

(Certain Ceramic Tile Setters), appealed to the 

U.S. Court of Customs and Patent Appeals the 

Commission's refusal to review a Commission 

Administrative Law Judge'.:S order that certain 

evidentiary matters shoula ·remain confidential 

under a protective order. B·oth the Commission 

and Ferro Corp., complainant in the Commission's investiga,tion, moved to dismiss the appeal for lack of subject-matter jurisdiction. At the 

end of the fiscal year, the'se motions were pending before the court. 

Two appeals Wf?re filed with. t'he U.S. Court of 

Customs and Patent Appeals in investigation No. 

337-TA-52 (Certain Apparatus for the Continuous 

Production of Copper Rod}: Southwire Co., complainant in the investigation.,. appealed the Commission's March 29, 1979; summary determination and partial termination with regard to three 

patents the Commission f~und to be licensed to 

Western Electric Co. (Appeal No. 79-25, filed 

May 29, 1979). Southwire· also appealed the 

Commission's June 20, 19.79, summary determination and partial termination with regard to 

one other patent that the, Commission ~6und to 

be licensed to Western Electric Co. (Appeal No. 

79-31, filed Aug. 16, 1979). At the end of the 

fiscal year, both appeals were still pending. 

On August 27, 1979, Sealed Air Corp., complainant in investigation No. 337-TA-54 (Certain 

Multicellular Plastic Film), appealed to the U.S. 

Court of Customs and Patent Appeals the Commission's determination that respondent Tong 

Seae Industrial Co., Ltd., a foreign manufacturer 

and exporter of multicellular plastic film, was not 

irJ violation of section.337. The Commission had 

f,ound that the process used by Tong Seae to 

manufacture multicellular plastic film·. abroad 

would not, if practiced in the United States, infringe complainant's. process patent. On September 10, 1979, Tong Seae and Polybubble, 

In~ .. another respondent in the Commission's inv~stigation, filed a seconc;l appeal arising out of 

\h~ Commission's determination in the multicellular. plastic film case. The Tong Seae/Poly14 

bubble appeal alleged tharthe Commission had 

erred in refusing to find the patent in controversy 

invalid. Both appeals were pending before the 

court at the end of the fiscal year. 

Astra-Sjuco, AB, Medline Industries, and Caring International Division of Medline Industries 

appealed from the adverse determination and 

order of the Commission in investigation No. 

337-TA-56 (Certain Thermometer Sheath Packages), issued July 25, 1979. The appeal, AstraSjuco, AB, et al. v. United States International 

Trade Commission and Steridyne Corporation, 

No. 80-3, filed October 12, 1979, was pending at 

the close of the fiscal year. 

ANTIDUMPING ACT, 1921, AS AMENDED 

Provisions of the Antidumping Act 

Section 20'1 (a)t~-of"the Antidumping Act, 1921. p'rovides 

that whenever the Secretary of the Treasury advises the 

Commission that a class or kind of foreign merchandise is 

being, or is likely to be, sold in the United States or elsewhere at less than its fair value, the Commission shall 

determine within 3 months whether an industry. in the 

United States is being or is likely to be injured, or is prevented from being established, by reason of the importation of such merchandise. At the conclusion of its investi-

_gation, the Commission notifies the Secretary of the 

Treasury of its determination. If the Commission determines in the affirmative, the Secretary of the Treasury 

issues a finding of dumping, and the described imports 

become subject to special dumping duties. 

During fiscal 1979, the Commission completed 20 investigations under section 201 (a) of 

the Antidumping Act. The Commission's deter-

. rninations were. affirma!ive in .15 cas.eis14 and 

negative in 5 cases. The investigations are summarized in table 8. 

There were five investigations pending as the 

fiscal year ended: On August 7, 1979, the Commission inst it'Gted . i nvesl ig·a t ion's Nos. 

AA 1921-206, 207, 208, and 209 (Titanium Dioxide From B~lgium, France, the·. United Kingdom, and the Federal Republie'of Germany). On I : ~ ' 

13 19 u:s.c. 160 er seq. 

"Under the 'Antidumping Act, decisions in which the Commissioners voting are evenly divided in their findings are 

deemed t!>-be in the affirmative. -
Table 8.-Antidumping investigations completed in fiscal year 1979 

Commissioners' votes '-' · Commission's report 

Investigation Advice Public Finding of 

No. Article conceriied received hearing Commission Affirmative Negative Not To Secretary USITC 

from partici· of Treasury Publication 

Treasury pa ting No. 

AA 1921·1!\5 .•• Nylon yarn from France 7-18-78 8-29·78 Negative Parker 10·18-78 922 

Alberger 

Moore 

Bedell 

AA1921-187 Motorcycles from Japan 8· 3-78 9·28·78 Negative Parker Stern1 11- 3·78 923 

and Alberger 

9-29-78 Moore 

Bedell 

AA1921-188 steel wire for prestressed 8-22·78 10- 3·78 Affirmative Parker Stern2 11-22-78 928 

concrete from Japan. 0

Alberger 

Moore 

.i Bedell 

'.'Al921-189 Certain steel wire nalls from 11- 1-78 12-14-78 Negative Alberger Parker3 2- 1-79 937 

Ca~ada. Moore 

Bedell 

.. Stern 

AA1921-190 Rayon staple fiber from France 11-13-78 1- 4-79 Affirmative Parke< Alberger 2-13-79 938 

and 191. and Finland. and Moore Sterns 

1- 5-79 Bedell 

Stern' 

AA1921-i92 ·Silicon metal from Ganada. 12- 5-78 1-23-79 Negative Parker Alberger 3- 5-79 -.954 

Moore 

Bedell 

Stern 

AA1921-193 Bicycle tires ai1d tubes from 12-26-78 2- 8-79 Affirmative Parker6 3-26-79 •· 958. 

the Republic of Korea. Alberg er' 

Moore6 

Bedell' 

Stern6 

AA1921-194, Perchloroethylene from 1-30-79 3-13-79 Affirmative Parker Alberger 4-30-79 969 

195, and 196. Belgium. France. and llaly. Moore Stern 

Bedell 

AA1921-197 Carbon steel plate from 2-12-79 4- 3-79 Affirmative Moore Alberger Parker3 5·14-79 970" 

Taiwan. Bedell Stern 

AA1921-198, Sugar from Belgium. France. 2-16-79 4-10-79 Affirmative Parker 5-16-79 972 

199, and 200. and West Germany. Alberger 

Moore 

Bedell 

Stern 

AA1921-201 Rayon staple fiber from Italy 2-22-79 4- 5-79 Affirmative Parker Alberger 5-22-79 976 

Moore Stern ,, 

Bedell 

AA1921-202 Methyl alcohol from Canada 3-29-79 5-15-79 Affirmative Parker Alberger 6-29-79 986 

and Moore Stern 

5-16-79 Bedell 

AA1921-203 Carbon steel plate from Poland. 4-17-79 5-24-79 Negative Alberg er Parkerl 6-18-79 984 

Moore 

Bedell 

Stern 

AA1921-204 Kraft condenser paper from 5-30-79 7-24-79 Affirmative Parker 8-31-79 999 

and 205. Finland and France. and Alberger 

7-25-79 Moore 

Bedell 

Stern 

1

Commissioner Stern assumed her duties as a Commissioner on Oct 16. 1978, and was not a Commissioner at the time of the public hearing or during most of the investigative period. 

2

Commissioner Stern did not participate in the decision because she did not assume her duties as a Commissioner until the preliminary investigation of the economic 

factors and legal issues in the case had been completed. 

3Chairman Parker did not participate in the vote in order to avoid any possibility or appearance of conflict of interest. 

~on imports of commodity-type rayon staple fiber from France. 

'On imports of commodity-type rayon staple fiber from Finland. 

60etermined that an industry is being or is likely to be injured. 

10etermined that an industry is being injured. 

15 
August 17, 1979, the Commission instituted investigation No. AA 1921-210 (Certain Marine 

Radar Systems From the United Kingdom). 

Inquiries Under Section 201(c)(2) of the 

Antidumping Act 

The Trade Act of 1974 amended the Antidumping Act, 

1921, in a number of respects. The Secretary of the 

Treasury is now authorized to forward to the Commission 

any investigation of alleged sales at less than fair value in 

which he believes there is substantial doubt that an industry in the United States is being or is likely to be injured, or is prevented from being established, by reason 

of the importation of the subject merchandise. The Commission determines, within 30 days, whether there is no 

reasonable indication that an industry is being or is likely 

to be injured, or is prevented from being established. If 

the Commission finds no reasonable indication, it is required to so advise the Secretary, and the investigation is 

then terminated. 

During fiscal 1979, six such inquiries were 

completed by the Commission. They are summarized in table 9. 

Litigation Arising From Investigations 

Conducted Und~r the Antidumping Act 

As n·oted in the Commission's annua·1 report 

for 1978, in complaints filed with the Customs 

Court during 1973, plaintiffs Atkins Kroll & Co., 

Inc., and Border Brokerage Co., Inc., asserted 

that the injury determinations of the Commission 

in investigations No. AA 1921-33 (Steel Reinforcing Bars From Canada) and No. AA1921-39 

(Carbon Steel Bars and Shapes From Canada), 

respectively, were invalid. On September 10, 

1979, the court dismissed the action in the 

Atkins Kroll & Co. case. A decision was pending 

Table 9.-Antidumping inquiries completed during fiscal year 1979 

Commissioners' votes Commission's report 

Finding that Finding that 

"there is no "there is a 

Advice reasonable in- reasonable inInvestigation Article received Public dication [of dication lof Not To Secretary USITC Pub· 

No. concerned from hearing injury)'" (Treas· injury]'" (Treas· participating of Treasury lication No. 

Treasury ury terminates its ury continues its 

investigation) investigation) 

AA192Hnq.-23 Titanium dioxide from Bel- 10-30-78 11·15·78 Alberger Parker 1 11·29·78 930 

gium, France. the United Stern Moore 

Kingdom. and the Federal Bedell 

Republic of Germany. 

AA192Hnq.-24 Certain 45 r.p.m. adaptors from 1·30·79 2·15·79 Parker 3. 1-79 953 

the United Kingdom. Alberger 

Moore 

Bedell 

Stern 

AA1921·1nq.-25 Steel wire coat and garment 4·17·79 5· 2·79 Parker 5·17·79 974 

hangers from Canada. Alberger 

Moore 

Bedell 

Stern 

AA192Hnq.-26 . Certain steel wire nails 4·17·79 5· 4.79 Alberger Parker2 5·17·79 975 

from the Republic of Korea. Moore 

Bedell 

Siem 

AA192Hnq.-27 Sugar from'Canada 4·25·79 5·10·79 Parker 1 5·25·79 977 

Alberg er 

Moore 

Bedell 

Stern 

AA 1921-lnq.-28 Countertop microwave ovens 8·24·79 9·12·79 Parker' 9·24· 79 1003 

from Japan. and Atberger 

9·13·79 Moore 

Bedell 

Stern 

'Chairman Parker voted that he did not find that "there is no reasonable indication [of injury]." 

2Chairman Parker did not participate in the vote in order to avoid any possibility or appearance of conflict of interest. 

16 
at the close of the fiscal year in the Border 

Brokerage Co. case. 

Another case which was noted in the Commission's annual report for 1978 was the complaint 

filed with the Customs Court on October 17, 

1974, in which Pasco Terminals, Inc., asserted, 

inter alia, that the injury determination of the 

Commission in investigation No. AA1921-92 (Elemental Sulfur From Mexico) was invalid. The 

Customs Court held that Pasco Terminals, Inc., 

had no standing to protest the imposition of 

dumping duties (416 F. Supp. 1242 (1974)). 

Pasco Terminals, Inc., moved for a rehearing of 

that decision, and on December 1, 1976, the motion for rehearing was denied (C.D. 4676). On appeal, the U.S. Court of Customs and Patent Appeals reversed and remanded the case to the 

Customs Court. On September 26, 1979, the 

court granted the Government's motion for summary judgment and dismissed the action. 

The 1977 and 1978 annual reports contained 

references to the complaints of Armstrong Bros. 

Tool Co. et al., filed with the Customs Court on 

September 26, 1977. These complaints assert, 

inter alia, that the negative determination of the 

Commission in investigations No. AA1921-41 

(Wrenches, Pliers, Screwdrivers, and MetalCutting Snips and Shears From Japan) and No. 

AA 1921-149 (Chisels, Punches, Hammers, 

Sledges, Vises, C-Clamps, and Battery Terminal 

Lifters From Japan) were invalid. 

On the same date that the Armstrong complaints were filed, Sprague Electric Co. filed a 

complaint with the Customs Court challenging 

the Commission's negative determination in investigation No. AA 1921-159 (Tantalum Electrolytic Fixed Capacitors From Japan). At the close 

of the fiscal year, all three cases were pending 

before the court on cross-motions for summary 

judgment. 

In a complaint filed with the U.S. District Court 

for the Northern District of New York on December 7, 1978, Flintkote Co., Glens Falls Division, 

asserted that the Commission's failure to find injury in its determination in investigation No. 

AA1921-184 (Portland Hydraulic Cement From 

Canada) was invalid. On February 16, 1979, the 

action was dismissed on the ground that the 

proper forum for the challenge was the U.S. 

Customs Court. (Flintkote Co. v. Blumenthal, 469 

F. Supp. 115 (N.D.N.Y. 1979).) This decision was 

affirmed by the U.S. Court of Appeals for the 

Second Circuit on March 19, 1979. (Flintkote 

Co., Glens Falls Division v. Blumenthal, 596 F.2d 

51 (2d Cir. 1979).) On February 16, 1979, Flintkote Co., Glens Falls Division, had filed a summons with the Customs Court urging that the 

court exercise equitable powers in preventing 

the liquidation of certain entries. The action was 

dismissed by the court on February 23, 1979 

(court No. 79-2-00304, C.R.D. 79-5). 

Alberta Gas Chemicals, Inc., the U.S. subsidiary of a Canadian firm, filed suit in the 

Customs Court on August 22, 1979, seeking 

review of the Department of the Treasury's 

denial of Alberta Gas Chemicals' protest of the 

refusal to allow entry of its methyl alcohol from 

Canada absent the filing of an antidumping 

bond. (Alberta Gas Chemicals, Inc. v. United 

States, Customs Court No. 79-8-01295.) The requirement of the bond resulted from the finding 

of dumping published by Treasury on July 27, 

1979, following an affirmative injury determination by the Commission on June 29, 1979. Plaintiffs allege, inter alia, that the affirmative determination of the Commission in investigation No. 

AA 1921-202 (Methyl Alcohol From Canada) was 

clearly erroneous. On October 19, 1979, the 

Department of Justice moved to dismiss the action for lack of jurisdiction of the subject matter 

and for failure to present a justifiable issue, or, 

alternatively, for summary judgment. At the 

close of the fiscal year, these motions were still 

pending, and discovery had not yet commenced 

in the litigation. 

As of the close of the fiscal year, the Customs 

Court also had pending before it cross-motions 

for summary judgment in SCM Corp. v. United 

States, an appeal arising from the Commission's 

negative injury determination in investigation 

No. AA 1921-145 (Portable Electric Typewriters 

From Japan). 

17 
Western steel 

In fiscal 1979 the Commission completed an intensive factfinding investigation on the 

conditions of competition in the Western U.S. steel market between domestic and 

foreign steel products. The 28-month study was undertaken by the Commission under 

section 332 of the Tariff Act of 1930, a provision which allows the Commission to investi· 

gate trade matters of immediate concern to the Government and the public. Hearings 

were held by the Commission in Colorado, Oregon, and California to obtain firsthand 

testimony from the industry. Among witnesses at the Los Angeles hearing on March 29, 

1979, were Mark T. Anthony (1), president of Kaiser Steel Corp.; Dale Armstrong (2), 

vice president of U.S. Steel Corp., Western Steel Division; and Bruce B. Dunwoody (3), 

vice president of Bethlehem Steel Corp., Pacific Coast Division. Following the hearing, 

the Commission and staff, as guests of Kaiser Steel Corp., toured its Fontana Works (4); 

the San Bernardino County, Calif., mill is one of the most modern steelmaking facilities 

in the world. A 20-story structure houses two new Basic Oxygen Process steelmaking 

furnaces where the completely enclosed operation is computer controlled (5), under 

continuous human supervision. 

I --------·-~-------~-----------~ 

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19 
6 

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Generalized System of Preferences 

A delegation from the State of Hawaii testified at the Commission's public hearing on June 26, 1979, on the 

President's list of articles which may be designated as eligible articles for purposes of the Generalized System of 

Preferences. The dignitaries included Representative Daniel 

K. Akaka (6), D.-Hawaii, and, left to right, John Farias, Jr., 

chairman, Board of Agriculture; State Senator Henry 

Takitani, chairman of the State Committee on Agriculture; 

and State Senator Ralph K. Ajifu (7). 

I' 

/, 

I 

~-) 

\ 
8 

10 

Anhydrous ammonia 

The Commission conducted its fifth investigation under section 406(a) of the Trade 

Act of 1974 to determine whether increased imports of ·anhydrous ammonia from the 

U.S.S.R. caused market disruption in the United States. Senator Henry Bellman (8), 

R.·Okla., and Representative Bill Chappell, Jr. (9), D.-Fla., appeared at the Commission's 

hearing on August 29, 1979. 

Centrifugal trash pumps 

Among 19 section 337 cases completed by the Commission under the Tariff Act of 

1930 was an investigation on centrifugal trash pumps (10) to determine whether unfair 

methods of competition or unfair acts occurred in the importation of such articles into 

the United States or in their sale. 

9 

21 
12 

Stainless steel 

On March 6, 1979, the Commission heard comments from both petitioners and 

respondents concerning the probable economic effect on the domestic industry of the 

termination of the annual quotas on imports of stainless and alloy tool steel (import 

relief) provided by four Presidential proclamations. The section 203 "review" case was 

instituted under the Trade Act of 1974. Senator H. John Heinz (11), R.·Pa., and Repre· • · 

sentative Doug Walgreen (12), D.-Pa., presented personal testimony at the Washington, 

D.C., hearing. Also speaking in support of the petition were Richard P. Simmons (13), 

president of Allegheny Ludlum Steel Corp.; Lloyd McBride (14), president of the United 

Steelworkers of America; and Jacob Clayman (15), vice president of the Consumer 

Federation of America and president and secretary-treasurer of the Industrial Union 

Department, AFL·CIO. 

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0 

22 
16 

Porcelain-on-steel cooking ware 

An important case to the sole remaining domestic producer of porcelain-on-steel 

cooking ware was the subject of a Commission "escape clause" investigation completed under section 201 of. the Trade Act of 1974. At the Commission's September 6, 

1979, hearing (16), appearances in support of petitioner General Housewares Corp., of 

Terre Haute, Ind., were made by Senator Robert C. Byrd (17), Senator Jennings 

Randolph (18), and Representative Robert H. Mollohan (19), all Democrats of West 

Virginia, and Senator Birch Bayh (20), D.-lnd. Other West Virginians testifying included 

Moundsville City Manager Richard L. Escalante, center, Larry Wiedebusch, Member of 

the House of Delegates, left, and James A. Mosby, State Industrial Development 

Representative (21 ). 

u 0 

0 

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24 
other activities 

TRADE AGREEMENTS PROGRAM 

The Commission regularly assists the executive branch of the Government in work connected with the trade agreements program. 

Assistance is provided to the President primarily 

through the Office of the Special Representative 

for Trade Negotiations (STR), 1 the executive 

branch center for many trade-agreement activities. Substantial Commission assistance is also 

given directly to particular executive departments, such as the Departments of State, Commerce, Labor, Agriculture, and Treasury, which 

have responsibilities in the program. 

Under section 163(b) of the Trade Act of .197 4, 

the Commission is to submit a yearly report to 

Congress on the operation of the trade agreements program. The 29th report, covering calendar year 1977, and the 30th report, covering 

calendar year 1978, were near completion at the 

end of fiscal year 1979. 

The Commission's work relating to the trade 

agreements program during fiscal 1979 fell into 

six major areas. The first consisted of assembling tariff, commodity, and statistical information in support of activities associated principally 

with the Multilateral Trade Negotiations (MTN) or 

with the program's daily operation. The second 

'Subsequent to the period covered by this report, the Of· 

lice of the Special Representative for Trade Negotiations 

was redesignated the Office of the United States Trade 

· Representative. The Special Trade Representative (now 

redesignated the United States Trade Representative) is the 

chief representative of the United States at trade-agreement 

negotiations, to whom the President has delegated many of 

his functions under the Trade Act of 197 4 (Executive Order 

11846, Mar. 27, 1975). A member of his staff serves as Chairman of the Trade Policy Staff Committee, which obtains information and advice from Government agencies and other 

sources and recommends policies and actions to the Special 

Representative. The U.S. International Trade Commission is 

represented on the Trade Policy Staff Committee, but does 

not vote and does not participate in decisions on policy matters because the Commission is the policy research and 

factfinding agency for both Congress and the executive 

branch. 

consisted of preparing, in the complete nomenclature of the Tariff Schedules of the United 

States, four successive versions of tariff concessions offered by the United States in the MTN, 

culminating in a fifth document specifying the 

concessions finally agreed upon. The third consisted of assisting STR and the Congress in the 

preparation of legislation to approve and implement many of the trade agreements negotiated 

under the Trade Act of 197 4. The fourth consisted of preparation of a Presidential proclamation to implement the major part of the tariff concessions granted by the United States. The fifth 

involved technical assistance to the STR in work 

related to the operation of the Generalized 

System of Preferences (GSP). The sixth involved 

technical assistance to the STR in conducting 

the interagency executive branch review of certain reports which the Commission submits to 

the President. 

Multilateral Trade Negotiations 

A seventh round of comprehensive Multilateral Trade Negotiations under the auspices of 

the General Agreement on Tariffs and Trade 

(GATI) opened in September 1973. The negotiaiions were in progress in Geneva, Switzerland, 

and in many capitals of the world throughout the 

period covered by this report, but they were substantially complete by the end of fiscal 1979. The 

Commission provided technical assistance to 

the STR in most areas of the negotiations. Computer data on U.S. imports and tariffs were prepared for the U.S. delegation in Geneva. Technical assistance was regularly provided to many 

of the Washington-based task forces which provided support for the U.S. delegation, including 

extensive assistance in assembling statistics 

and other data for the U.S. tariff offers initially 

tabled in Geneva in January 1978. Commission 

staff and Commissioners participated in Geneva 

meetings of the MTN negotiating groups, and 

25 
I/ 

William E. Culbert, deputy head of the U.S. delegation, 

signed the MTN tariff protocol for the United States on July 

11, 1979, in Geneva. Also present were (from left) Wi°lliam T. 

Hart, Commission Executive Liaison and Special Advisor for 

Trade Agreements; Julio Raimondi, Minister for Economic 

Affairs of Argentina; and Ann Hughes, Department of Commerce. 

five members of the Commission· staff were on 

the permanent U.S. MTN delegation in Geneva 

during the first half of the fiscal y~ar. Three additional staff members were temporarily detailed 

to Geneva to assist in the final tariff negotiations 

with the developed countries. Assistance was 

also provided for the bilateral negotiations with 

Taiwan, Hungary, and countries forming the 

Cartegena Agreement. 

Toward the end of fiscal 1978, at the request 

of the Senate Committee on Finance and the 

House Committee on Ways and Means, the 

Commission began work on an extensive analysis of the MTN as part of a large program to 

assist Members of Congress in their examination of the various MTN agreements and consideration of implementing legislation sent to the 

two committees. This study, completed in June 

1979, assessed the impact on U.S. industry, 

labor·, -:<Ind consumers of the tariff reductions 

made by the United States and its major trading ' ' . . 

26 

partners and of the nontariff-measure agreements being negotiated with. ~~spect to safeguards, government procurement, subsidies and 

countervailing duty measures, technical barriers 

to trade (standards), licensing procedures, 

customs valuation, and several other more 

specific agreements such as those on trade in 

aircraft and dairy products. 

The Commission continued to supply the 

GATI Secretariat in Geneva with compilations of 

data on U.S. imports, tariffs, and trade-agreement obliga,tions. Most of this was part of a continuing compilation of trade and tariff information to provide basic data for the MTN. Since virtually all international tariff and trade work is 

conducted in terms of the product classifications of the Customs Cooperation Council 

~omenclature (CCCN), the Commission regularly provides the GATI Secretariat with information on the concordance between the Tariff 

Schedules of the United St.ates (TSUS) ~n9 the 

CCCN. This concordance is continuously being 

updated at the Commission. 

Formal Documentation for U.S. Tariff Offers 

and Concessions 

In the last half of fiscal 1978, the Office of Executive Liaison and Special Advisor for Trade 

Agreements began preparation of the document 

setting out all tariff concessions offered by the 

United States in the MTN in the complete 

nomenclature of the TSUS. The initial version of 

this so-called legal offer list was tabled in 

Geneva in December 1978. As the negotiations 

proceeded to a conclusion, extensive revisions 

were made in the initial offers. To accurately 

reflect all these changes at key stages of the 

negotiations, two revised editions of the document were issued. The final concessions agreed 

upon were then recorded in a similar 600-page 

document, which in early July was annexed to 

the Geneva (1979) Protocol concluding the tariff 

negotiations among developed countries. 

Late in 1979, work was begun on preparation 

of a consolidated schedule of U.S. concessions 

under the GA TI (schedule XX), which would incorporate, in addition to the concessions negotiated in the MTN, those made in the Kennedy 
/) 

, 17 \ 

Signaling a "new era for.fair trade.and ,U.S. export grpwth," President Carter signed the Trade Agreements Act of 1979 i~ a 

White House ceremony on July 29, 1979. Attendfng the ceremony were industry representatives, Members of Congress, senior 

administration officials, and Commissioners from the U.S. International Trade Commission. The action was the culmination of 

years Qf n~goti.ations' on frade liberalization amqng_ 99 nations. The trade agreements, which ·r.eceived.almost unanimous approval by the Congress, will gradually cut tariffs by about a.third and impose a series of measures to reduce nontariff barriers to 

trade. · \. 

round and earlier negotiations. The consolidated 

schedule XX is· expected to be completed and 

circulated to the other GATI contracting parties 

for certification during 1980. · 

MTN Implementing Legislation 

Considerable time and effort were spent by 

the Office of the General Counsel, the Office of 

Nomenclature, Valuation, and Related Activities, 

and the Office of Executive Liaison and Special 

Advis.or for Trade Agreerri'ents in assisting STR 

and the staffs of the House Committee on Ways 

and Means and the Senate Committee on 

Finance iri drafting the Trade Agreements Act of 

1979, which be.came Public Law 96-39 on July 

26, 1979. 

The purposes of this act are-

. · (1) To 'approve and implement the frade agreements 

<.·!.negotiated under the Trade Act of 1974; 

· (2) To ..foster the growth and maintenance of an open 

world trading system; . 

(3) To expand opportunities for ihe commerce of the 

5-· United States·tn international trade; and 

·; (4) To improve the ~ules.of international trade and to provide for the enforcement of such rules, and for other 

,: , ~- ·purpo_ses. 

This legislation, inter alia, approved the agreeme!'lts'which had been negotiated in the MTN 

and submitted to the Congress in June, set the 

conditions under which the ·President could accept the agreements for the United States, and 

provided for the modificatiohs of various U.S. 

statutes which would be necessary to implement 

the.·agreements. The major amendments to existing U.S. laws made by the Trade Agreements 

Act of 1979 concerned countervailing and antidumping duties, customs valuation, government 

procurement, the establishment of product standards, trade in civil aircraft, and the basis·for levy~ 

ing duties on distilled spirits. A large number of 

other provisions affected a wide range of specific prod1:1cts . 

Implementation of Tariff Concessions 

Tariff ·concessions granted by the United 

States in trade agreements are implemented by 

27 
Presidential proclamations which modify the 

Tariff Schedules of the United States accordingly. 

At least two proclamations will be required to implement the vast number of reductions negotiated in the MTN and certain bilateral agreements. Work on the first of these proclamations 

was begun in May 1979 by the Office of Executive Liaison and Special Advisor for Trade 

Agreements and the Office of Nomenclature, 

Valuation, and Related Activities, and continued 

throughout the remainder of the fiscal year. 

When subsequently completed, it would be by 

far the largest and most complex such proclamation ever issued. 2 A second large proclamation, which will deal principally with implementing tariff concessions tied to the effective date 

for the United States of the new customs valuation standards contained in the MTN agreement 

relating to customs valuation, was planned for 

the spring of 1980. 

Generalized System of Preferences 

The Trade Act of 197 4 gave the President 

authority to establish a Generalized System of 

Preferences, under which eligible articles that 

are the product of designated beneficiary 

developing countries can be imported into the 

United States free of duty. Executive Order 

11888 implemented the GSP effective January 

1, 1976; the Special Trade Representative and 

the Secretary of State are jointly responsible for 

its administration. The Executive order has been 

modified several times to change the list of articles receiving GSP treatment and the list of 

beneficiary countries. During fiscal year 1979, 

the Commission again provided technical assistance in the interagency review leading to these 

modifications, as well as assistance in preparation of the orders implementing the changes. 

The Commission provided its advice on 37 items 

as to the probable economic effects on U.S. industries producing like or directly competitive 

articles and on consumers of the elimination of 

import duties under the GSP. In addition, Commission personnel assisted in monitoring GSP 

'The proclamation was signed by the President on Dec. 

1 l, .1979. 

28 

imports and did the major part of the work entailed in application of the "competitive need" 

criteria set out in section 504 of the Trade Act. 

For the sixth executive branch review of the 

operation of GSP, parts of which consisted of 

public hearings held by the Trade Policy Staff 

Committee, STR was supplied technical data on 

U.S. production of and trade in more than 86 articles on which petitions had.been.submitted for 

a modification of their GSP status. Commission 

personnel also assisted in the work begun for 

the preparation of the 5-year status report to 

Congress on the operation of the GSP program. 

The Trade Agreements Act of 1979 made four 

changes regarding the operation of the GSP program. The first permits the extension of beneficiary status to members of the Organization of 

Petroleum Exporting Countries provided that the 

country in question entered into a bilateral 

product-specific trade agreement with the 

United States under section 101 or 102 of the 

Trade Act of 197 4 before January 3, 1980. The 

second change lowered the "local content" requirement from 50 percent to 35 percent of the 

appraised value of the article for imports from 

any two or more countries which are members 

of the same association of countries which is 

treated as one country under section 502(a)(3) of 

the Trade Act. The third change gives the President authority to waive the 50-percent competitive-need criterion where the total value of imports of an eligible article is less than $1 million 

(adjusted annually). The fourth change extends 

the implementation date of competitive-need 

changes from 60 days to 90 days after the close 

of each calendar year. 

Executive Branch Review of Commission 

Reports 

Many of the reports which the Commission 

submits to the President under various statutes, 

such as section 201 of the Trade Act of 197 4, involve matters on which action by the President 

would affect trade-agreement obligations of the 

United States. Executive branch review of these 

reports for the purpose of formulating executive 

branch recommendations to the President is 

usually centered in the Office of the Special 
Representative for Trade Negotiations. The 

Commission provides technical assistance in 

the review process, including such supplemental 

information as may be required. During the 

period covered by this report the Commission 

submitted two reports to the President on investigations which were instituted as a result of 

petitions for import relief under section 201 of 

the Trade Act and eight reports under section 

337 of the Tariff Act of 1930. Most of these 

reports required eventual action by the President.3 

UNIFORM STATISTICAL DATA ON 

IMPORTS, EXPORTS, AND PR0DUCTION 

Activities Under Section 484(e) of the 

Tariff Act of 1930 

Section 608(a) of the Trade Act of 197 4 and 

Public Law 95-106 amended section 484(e)4 of 

the Tariff Act of 1930 by providing for comparability of U.S. imports, production, and export 

data, as follows: 

(e) Statistical Enumeration.-The Secretary of the 

Treasury, the Secretary of Commerce, and the United 

States International Trade Commission are authorized 

and directed to establish from time to time for statistical 

purposes an enumeration of articles in such detail as in 

their judgment may be necessary, comprehending all 

merchandise imported into the United States and exported from the United States, and shall seek, in conjunction with statistical programs for domestic production and 

programs for achieving international harmonization of 

trade statistics, to establish the comparability thereof 

with such enumeration of articles. All import entries and 

export declarations shall include or have attached thereto 

3

The reports under sec. 201 of the Trade Act concerned 

investigations to determine whether a domestic industry was 

being seriously injured, or threatened with serious injury, by 

imported articles. The f?rOducts involved were clothespins 

and bolts, nuts, and large screws of iron or steel. 

The reports under sec. 337 of the Tariff Act of 1930 concerned unfair acts in the importation into the United States 

of doxycycline, certain roller units, certain luggage products, 

electric slow cookers, flexible foam sandals, multicellular 

plastic film, novelty glasses, and thermometer sheath 

packages. 

'19 U.S.C. 1484(e). 

an accurate statement specifying, in terms of such detailed .enumeration, the kinds and quantities of all merchandise imported and exported and the value of the total 

quantity of each kind of article. 

A great amount of work during fiscal years 

1976 and 1977 by the Commission and the 

Departments of the Treasury and Commerce 

resulted in the preparation and printing of a 1978 

edition of Schedule B (the export schedule) 

based on the Tariff Schedules of the United 

States Annotated (TSUSA) and a 1978 edition of 

the TSUSA incorporating changes providing for 

greater comparability with exports and production, and in changes in the product codes based 

on the Standard Industrial Classification providing for greater comparability with imports and 

exports. 

During fiscal year 1979, the Committee for 

Statistical Annotation of Tariff Schedules, which 

is made up of delegates of the Secretary of the 

Treasury and the Secretary of Commerce and 

which is chaired by a delegate of the Commission, considered 40 requests for statistical annotations to the TSUSA and 40 requests for modifications to Schedule B in order .to improve the 

comparability of U.S. import and export data and 

for other reasons. As a result of these requests, 

the committee created 142 new TSUSA items 

and provided 146 new Schedule B numbers. 

Harmonized Commodity Code 

Pursuant to section 608(c) of the Trade Act of 

197 4, in fiscal year 1975 the Commission undertook an investigation under section 332(g) of the 

Tariff Act of 1930 which would provide the basis 

forfull and immediate participation by the United States International Trade Commission in the United States contribution to technical work of the Harmonized Systems 

[sic] Committee under the Customs Cooperation Council 

to assure the recognition of the needs of the United 

States business community in the development of a Harmonized Code reflecting sound principles of commodity 

identification and specification and modern producing 

methods and trading practices .... 

During fiscal year 1979 the Commission participated in the U.S. contribution to the technical 

work of the Harmonized System Committee by 

29 
preparing comments on 14 chapters of the Harmonized Code and by providing technical assistance to the U.S. delegate to the Harmonized 

System Committee at Committee sessions. In 

addition, preliminary work was done on 41 new 

chapters of the Harmonized Code. Commission 

staff attended all three sessions of the Harmonized System Committee during fiscal year 

1979 and initiated bilateral meetings with representatives of the European Community prior to 

meetings of the Committee in order to facilitate 

and expedite its deliberations. 

PREPARATION OF THE TARIFF 

SCHEDULES OF THE UNITED STATES 

ANNOTATED 

The Tariff Schedules of the United States Annotated is published periodically by the Commission. It contains the classifications used for 

reporting import data by commodity and by supplying countries. The schedules delineate some 

11,000 commodity classifications for which import statistics are collected. At appropriate intervals the TSUSA is updated to reflect the effects 

of legislation, Presidential proclamations and Executive orders, and other modifications of the 

schedules. 

During fiscal 1979 the Commission issued 

supplements 4 and 5 to the 10th (1978) edition of 

the TSUSA. 

PERIODIC REPORTS ON COMMODITIES 

Synthetic Organic Chemicals 

The Commission has regularly prepared annual and monthly reports on synthetic organic 

chemicals, plastics and resin materials, medicinal chemicals, pesticides, and other products. 

The annual reports have been published since 

1918; the monthly production reports evolved 

from studies of hundreds of organic chemicals 

begun during World War I. 

Government uses of these data reportedly include monitoring of toxic substances by the Environmental Protection Agency and the National 

Institute for Occupational Safety and Health, 

trade adjustment assistance by the Department 

30 

of Labor, planning and investigations by the 

Food and Drug Administration, trade negotiations by the Office of the Special Representative 

for Trade Negotiations, mobilization studies by 

the Department of Commerce, assurance of 

petrochemical feedstock supplies by the Department of Energy, and monitoring of the economy 

(particularly the chemical industry) by the Council on Wage and Price Stability. The business 

community, ·including industry, consultants, and 

financial analysts, also reportedly uses these 

data extensively. 

Annual reports.-The 61st annual report on 

U.S. production and sales of synthetic organic 

chemicals, covering calendar year 1977, was 

released by the Commission on Octqber 12, 

1978.5 Also during fiscal year 1979, the Commission prepared the 62d annual report, covering 

calendar year 1978.6 Fifteen groups of chemicals were involved: 

Tar and tar crudes 

Primary products from petroleum and natural gas for 

chemical conversion 

Cyclic intermediates 

Dyes 

Organic pigments 

Medicinal chemicals 

Flavor and perfume materials 

Plastics and resin materials 

Rubber-processing chemicals 

Elastomers (synthetic rubber) 

Plasticizers 

Surface-active agents 

Pesticides and related products 

Miscellaneous end-use chemicals and chemical products 

Miscellaneous cyclic and acyclic chemicals. 

Approximately 750 manufacturers report data 

to the Commission on some 8,000 chemical 

products; these data form the base for the annual report. Also included in the annual report is 

a directory of manufacturers for each of the 

named chemicals and chemical products. The 

data for another annual Commission publication, 

Imports of Benzenoid Chemicals and Products, 

are obtained by analyzing invoices covering 

most of the ·general imports of benzenoid 

chemicals. 

•synthetic Organic Chemicals, United States Production 

and Sales, 1977, USITC Publication 920, 1978. 

•Synthetic Organic Chemicals, United States Production 

and Sales, 1978, USITC Publication 1001, 1979. 
Monthly reports.-The monthly production 

reports (Series C/P) add timeliness to the Come 

mission's statistics. A report, containing production data for 91 selected synthetic organic 

chemicals, plastics and resins, and other trendsetting indicator materials, is issued for each 

month at a date approximately 6 weeks after the 

month covered by the report. 

Quantitative Determinations 

As required by statute, Executive order, or 

Presidential proclamation, the Commission continued to submit annual and quarterly reports 

during fiscal year 1979 on several commodities. 

Annual reports were submitted on U.S. consumption of watch movements7 and brooms. 8 

In 1976, after receiving the Commission's 

report on stainless steel and alloy tool steel (investigation No. TA-201-5), the President imposed 

quantitative restrictions on stainless steel and 

alloy tool steel for a period of 3 years and implemented a monitoring program administered by 

the Commission. 9 The quotas, which were due to 

expire on June 13, 1979, were extended to 

February 13, 1980.10 In fiscal year 1979, the 

Commission issued four quarterly reports 11 

covering U.S. producers' production, shipments, 

employment, man-hours, and prices. Two annual 

reports12 were also issued during the year. One 

covered U.S. importers' prices, unshipped 

orders, and inventories; the other covered U.S. 

producers' profit, unshipped orders, inventories, 

'Public Law 89·805 (80 Stat. 1521, 1522); unnumoAred 

USITC publication, 1979. 

•Public Law 89·241 (79 Stat. .948, 949); Executive Order 

11377 implements headnote 3 to schedule 7, pt. 8, subpt. A, 

of the TSUS; USITC Publication 967, 1979. 

•Presidential Proclamation 4445 implements headnote 

2(g)(i) and (ii) of pt. 2, subpt. A, of the Appendix to the TSUS. 10Presidential Proclamation 4665 extended the quotas to 

Feb. 13, 1980. 

"Third calendar quarter 1978, USITC Publication 927, 

1978; fourth calendar quarter 1978, USITC Publication 942, 

1979; first calendar quarter 1979, USITC Publication 973, 

1979; second calendar quarter 1979, USITC Publication 996, 

1979. 12Annual report on U.S. importers for calendar year 1978, 

USITC Publication 961, 1979; annual report on U.S. pro· 

ducers for calendar year 1978, USITC Publication 960, 1979. 

capacity, capital expenditures, and research 

and development expenditures. The quarterly 

and annual reports are to continue for the duration of the quantitative restrictions. 

In conformance with the provisions of the 

orderly marketing agreement negotiated with 

the Government of Japan limiting the export of 

color television receivers and certain subassemblies thereof from Japan to the United States for 

a period of 3 years, the Commission issL:Jed four 

quarterly reports 13 showing aggregate monthly 

data provided by U.S. producers of color TV 

receivers on production, shipments, inventories, 

imports, employment, man-hours, prices, and 

other economic factors indicative of conditions 

in the U.S. industry. In addition, the Commission 

issued the second of the required annual 

reports14 showing quarterly data on profit and 

capacity and annual data on capital expenditures for U.S. producers, and quarterly data on 

prices, orders, and inventories for importers. 

These periodic reports will continue for the dura-: 

tion of the orderly marketing agreement. 

Following receipt of the Commission's reporf 

on mushrooms in January 1977 (investigation 

No. TA-201-10), the President determined that 

import relief was not in the national economic interest. However, he decided to monitor import 

competition in the domestic market for canned 

mushrooms. Accordingly, pursuant to section 

332(g) of the Tariff Act of 1930, the President requested the Commission to prepare quarterly 

statistical reports on U.S. production, sales, inventories, imports, exports, and apparent consumption of canned mushrooms. These quarterly reports are to b'e continued until the Commission is notified by STA that they are no longer required. The Commission issued four such quarterly reports in fiscal 1979.15 

"Third calendar quarter 1978, USITC Publication 925, 

1978; fourth calendar quarter 1978, USITC Publication 939, 

1979; first calendar quarter 1979, USITC Publication 971, 

1979; second calendar quarter 1979, USITC Publication 995, 

1979. 

"Annual report for calendar year 1978, USITC Publication 

962, 1979. 15Third calendar quarter 1978, USITC Publication 931, 

1978; fourth calendar quarter 1978, USITC Publication 952, 

1979; first calendar quarter 1979, USITC Publication 978, 

1979; second calendar quarter 1979, USITC Publication 998, 

1979. 

31 
After considering the Commission's report on 

footwear (investigation No. TA-201-18), the 

President decided not to impose the tariff-ratequota remedy recommended by the Commission 

for the injury it found, but rather to negotiate 

orderly marketing agreements limiting the export of certain footwear from Taiwan and the 

Republic of Korea to the United States. On Jun~ 

24, 1977, he announced such agreements 

covering certain footwear shipped to the United 

States for the 4 years ending June 30, 1981.16 

The President announced that the Commission 

would issue quarterly reports showing monthly 

data on U.S. production, imports for consumption, apparent consumption, employment, and 

prices. It would also conduct annual surveys of 

domestic producers with respect to profit, 

orders, capacity, inventories, prices, capital expenditures, and research and development expenditures, and annual surveys of importers with 

respect to prices, orders, and inventories. The 

Commission issued the first of its annual surveys 

of footwear producers and importers on May 31, 

1978, 17 and the second on May 31, 1979. 18 In addition, four quarterly reports were issued during 

1979. 19 The quarterly and annual reports are to 

continue for the duration of the orderly marketing agreements. 

On January 6, 1979, the President, after 

receiving the Commission's recommendations 

in connection with investigation No. TA-201-37, 

imposed duty increases on bolts, nuts, and large 

screws of iron or steel. 20 The duty increases are 

scheduled to remain in effect for 3 years. The 

Commission is currently monitoring the fastener 

industry to determine the effects of the in-

'"Presidential Proclamation 4510, June 22, 1977, implements headnote 3(k)(i) and (ii) to pt. 2, subpt. A, of the Appendix to the TSUS. 

"Annual report for calendar years 1976 and 1977, USITC 

Publication 889, 1978. 

'"Annual report for calendar years 1977 and 1978, USITC 

Publication 980, 1979. 

'"Third calendar quarter 1978, USITC Publication 929, 

1978; fourth calendar quarter 1978, USITC Publication 950, 

1979; first calendar quarter 1979, USITC Publication 981, 

1979; second calendar quarter 1979, USITC Publication 997, 

1979. 20Presidential Proclamation 4632 implements headnote 

4(a) and (b) of pt. 2, subpt. A, of the Appendix to the TSUS. 

32 

creased duties and has published one annua121 

and two quarterly reports. 22 The annual report 

covered U.S. producers' profits, unfilled orders, 

inventories, capital expenditures, and capacity 

and U.S. importers' unfilled orders, inventories, 

and prices. The quarterly reports provided data 

on U.S. production, shipments, imports, exports, 

apparent consumption, employment, man-

" hours, and prices. 

Other Periodic Reports 

The compilation and publication of the following two series of data began some years ago in 

response to congressional and general public interest. Series A relates to all motor vehicles (i.e., 

passenger automobiles, trucks, buses, and so 

forth) and is published annually, in the spring; 

Series 8 relates to new passenger automobiles 

only and is published annually, in the fall. Two 

such reports were published during fiscal year 

1979: 

Automotive Trade Statistics, 1964-78: U.S. Factory Sales, Imports, Exports, Apparent Consumption, and Trade Balances with Canada 

and All Other Countries (Series A-Motor 

Vehicles), USITC Publication 985, June 1979. 

Automotive Trade Statistics, 1964- 78: U.S. Factory Sales, Retail Sales, Imports, Exports, Apparent Consumption, Suggested Retail Prices, 

and U.S. Bilateral Trade Balances With the 

Eight Major Producing Countries (Series B: 

Passenger Automobiles), USITC Publication 

1002, September 1979. 

SUMMARIES OF TRADE AND TARIFF 

INFORMATION 

The Commission periodically publishes a 

series of summaries of trade and tariff information to provide the Congress, the courts, Government agencies, foreign governments, industrial 

21Annual report on U.S. producers and U.S. importers for 

calendar year 1978, USITC Publication 963, 1979. 22First calendar quarter 1979, USITC Publication 979, 

1979; second calendar quarter 1979, USITC Publication 

1000, 1979. 
institutions, research and trade organizations, 

and the general public with information on each 

of the commodities listed in the Tariff Schedules 

of the United States. 

These summaries provide comprehensive 

coverage of product uses, manufacturing processes, and commercial practices, and include 

analysis of the numerous factors affecting U.S. 

and world trade in each commodity area. 

The overall summary program will run several 

years, ultimately covering all items of the TSUS. 

In fiscal year 1979, the Commission issued only 

three summaries owing to the overriding commitment of the Commission to an extensive 

analysis of the Multilateral Trade Negotiations. 

The summaries issued in fiscal year 1979 (USITC 

Publication 841) covered the following subjects: 

Title Control No. Release date 

Unmounted Ophthalmic 

Lenses . 7-2-6 October 1978 

Live Plants ... 1-6-4 November 1978 

Live Cattle and Meat 

of Cattle . 1-1,2-5 September 1979 

·' J 

ASSISTANCE TO THE CONGRESS 

During fiscal year 1979, the Office of Congressional Liaison continued to provide liaison 

with the Congress, State and local governments, 

international organizations, and nonexecutive 

Government agencies. Responding to congressional inquiries remained a major activity of the 

Office: the Commission replied to an average of 

41 written requests and 83 oral inquiries each 

month. In addition, technical assistance was 

provided on 56 bills, and staff specialists participated at a number of congressional hearings. 

Three investigations initiated in fiscal 1978 in 

response to specific congressional requests 

were completed in fiscal 1979. Two of them 

were requested by the House Committee on 

Ways and Means: Bolts, Nuts, and Large Screws 

of Iron or Steel (No. TA-201-37), instituted under 

section 201 of the Trade Act of 1974, and A 

Baseline Study of the Telephone Terminal and 

Switching Equipment Industry (No. 332-92), conducted under section 332 of the Tariff Act of 

1930. The report on the metal fasteners investigation was sent to the President in November 

1978, and the telephone equipment study report 

was transmitted to the committee in January 

1979. The third investigation, Agreements Being 

Negotiated at the Multilateral Trade Negotiations in Geneva (No. 332-101), a section 332 

review jointly requested by the House Committee on Ways and Means and the Senate Committee on Finance, was completed in June 1979. 

The report on a section 332 investigation that 

the Commission instituted on its own motion in 

fiscal 1977 after receiving a congressional request, Conditions of Competition in the Western 

U.S. Steel Market Between Certain Domestic 

and Foreign Steel Products (No. 332-87), was 

completed in September 1979. 

Two additional section 332 investigations, instituted at the specific request of congressional 

committees during fiscal 1979, were in progress 

at the end of the fiscal year: Competitive Factors 

Influencing World Trade in Integrated Circuits 

(No. 332-102) was jointly requested by the 

Senate Committees on Finance and on Banking, 

Housing, and Urban Affairs in October 1978, and 

Casein and Its Impact on the Domestic Dairy Industry (No. 332-105) was requested by the 

House Committee on Ways and Means in June 

1979. Also, the Commission continued its ongoing section 332 investigation on Formulation of 

an International Commodity Code (No. 332-73) 

as required by section 608(c)(1) of the Trade Act 

of 1974. 

During the year, 10 Members of Congress appeared as witnesses at hearings before the 

Commission, and written testimony was received from additional Members. 

NEW YORK CITY FIELD OFFICE 

From its earliest days the Commission recognized the advisability of operating a field office in 

the Nation's leading center for international 

commerce-the port of New York and New 

Jersey. Established in 1922, the New York facility remains the only Commission office functioning outside the Nation's Capital. 

Located in the U.S. Customs Service area 

within the World Trade Center complex in lower 

33 
Manhattan, the Commission's field office performs several functions. The office develops and 

maintains liaison with numerous agencies and 

organizations at the New York-New Jersey port, 

including the U.S. Customs Service, the United 

Nations, numerous consulates, transportation 

companies and freight forwarders, export/import 

shippers and manufacturers, and banking representatives. 

From their vantage point at the World Trade 

Center, Commission personnel provide timely 

assessments of developments or trends which 

might affect the work of the Commission. The 

34 

field office gathers data and supplies technical 

assistance required in the conduct of studies 

and investigations. At the same time, it provides 

information and assistance to the general 

public, the trade community, and various 

Government agencies. Particularly useful is the 

library which the Commission maintains at Suite 

629, 6 World Trade Center. Serving as the field 

office's information center, the library contains 

Commission reports, notices, and press releases, as well as selected statistical data, legal 

documents, commodity classification schedules, and other trade-related. publications. 
administration and finances 

ORGANIZATION OF THE COMMISSION 

On September 30, 1979, the U.S. International 

Trade Commission was composed of 5 Commissioners and 361 staff members. 1 The chart on 

page 38 depicts the Commission's organization 

at the end of fiscal 1979. 

The Secretary serves the Commission in the 

conduct of its business and is an official point of 

contact, in general, with other Government 

agencies and the public. The Director, Office of 

Executive Liaison and Special Advisor for Trade 

Agreements, acts as the Commission's liaison 

with the President's Special Representative for 

Trade Negotiations and advises the Commission 

on trade agreements. The General Counsel is 

the Commission's chief legal officer. The Senior 

Advisor advises the Commission on a broad 

range of issues affecting all phases of Commission activity. The Chief Administrative Law 

Judge presides over section 337 case hearings. 

The Director, Office of Congressional Liaison, 

acts as the principal Commission contact with 

the Senate and the House of Representatives. 

The Director of Operations is in charge of carrying out the Commission's substantive day-to-day 

activities, including investigative duties. The 

Director of Administration is responsible for support, including personnel, finance, services, and 

production. 

Membership of the Commission 

As provided in the Tariff Act of 1930, as 

amended, the six Commissioners of the U.S. International Trade Commission are Presidential 

appointees who are confirmed by the Senate. 

Their terms are 9 years in length, unless a Com-

'Temporary employees not included. 

missioner is appointed to fill an unexpired term, 

and they are not eligible for reappointment if 

they serve for more than 5 years. By provision of 

Public Law 95-106 the President is authorized to 

designate the Chairman and Vice Chairman for 

2-year terms. The Chairman and Vice Chairman 

may not be of the same political party, nor may 

the President appoint two Commissioners of the 

same political party for two consecutive 2-year 

terms as Chairman. Not more than three Commissioners may belong to the same political party. During fiscal 1979 Joseph 0. Parker served 

as Chairman, and Bill Alberger served as Vice 

Chairman. 

The following Commissioners served during 

fiscal year 1979: 

Commissioner Joseph 0. Parker, Republican 

of Virginia. Mr. Parker's term expired December 

16, 1979, and he resigned effective December 

31,1979. 

Commissioner George M. Moore, Republican 

of Maryland. Mr. Moore's term expires December 16, 1982. 

Commissioner Catherine Bedell, Republican 

of Washington. Mrs. Bedell's term expires June 

16, 1984. 

Commissioner ltalo H. Ablondi, Democrat of 

New York. Mr. Ablondi's term expires June 16, 

1981 .

2 

Commissioner Bill A/berger, Democrat of 

Oregon. Mr. Alberger's term expires December 

16, 1985. 

Commissioner Paula Stern, Democrat cit the 

District of Columbia. Ms. Stern's term expires 

June 16, 1987. 

Commissioner Michael J. Calhoun, Independent of the District of Columbia, entered on duty 

on February 1, 1980. Mr. Calhoun's term expires 

December 31, 1988. 

'Commissioner Ablondi resigned effective Oct. 10, 1978. 

35 
Executive Staff of the Commission 

General Counsel 

Director, Office of Executive 

Liaison and Special Advisor 

for Trade Agreements . 

Senior Advisor to the 

Michael H. Stein.' 

William T. Hart. 

Commission. . . . . . . . . . . . . . Russell N. Shewmaker.' 

Secretary to the Commission . . . Kenneth R. Mason. 

Director, Office of Congressional 

Liaison . 

Chief Administrative Law Judge . 

Administrative Law Judge .. 

Director, Office of Administration 

Chief, Finance and Budget 

Division . 

Director of Personnel 

Chief, Services Division. 

Chief, Production Division .. 

Director of Operations. 

Director of Investigations 

(Acting) 

Chief, Unfair Import 

Investigations Division 

(Acting) 

Director, New York 

Field Office 

Director, Office of Industries. 

Chiefs of Divisions: 

Agriculture, Fisheries, 

George L. Hooper. 

Donald K. Duvall. 

Janet D. Saxon. 

Charles R. Ramsdale. 

Edward C. Wallington, Jr. 

Terry P. McGowan. 

Ronald P. Fox. 

Kenneth Will, Jr. 

Charles W. Ervin.' 

E. William Fry. 5 

Edward M. Lebow.• 

Walter S. Trezevant. 

Norris A. Lynch. 

and Forest Products . Edward P. Furlow. 

Minerals and Metals Vacant. 

Energy and Chemicals. 

Textiles, Leather 

Products, and 

Apparel 

Machinery and 

Equipment. 

General Manufactures 

Director, Office of 

Economic Research 

Director, Office of 

Data Systems (Acting) . 

Director, Office of 

Nomenclature, Valuation, 

and Related Activities . 

Aimison Jonnard. 

Reuben I. Schwartz. 

Aaron H. Chesser.' 

Selma L. Coble. 

Norman S. Fieleke.• 

Michael Olsavsky. 

Public Information Officer . 

Eugene A. Rosengarden. 

Harold W. Sundstrom. 

'From July 12, 1979, through May 23, 1980, Mr. 

Shewmaker served as General Counsel and Mr. Stein served 

as Senior Advisor. 

•Effective Dec. 3, 1979. 

'Effective Jan. 18, 1980. 

•Effective May 5, 1980. 

'Effective Feb. 10, 1980. 

•Effective Nov. 13, 1979. 

36 

Sources of Information 

Inquiries should be directed to the specific 

organizational unit or to the Secretary, U.S. International Trade Commission, 701 E Street NW., 

Washington, D.C. 20436, phone 202-523-0161. 

Publications may be ordered 24 hours a day, 7 

days a week, by calling 202-523-5178. 

Facilities for research by the public are 

located in the Office of the Secretary, in the 

Commission Library, and in the New York City 

field office. 

In addition to its statutory obligations to conduct public investigations, the Commission 

assists the legislative and executive branches of 

Government and answers many inquiries from 

the news media and the public. As the international economic research arm of the Government, it maintains a 72,000-volume library, 

which subscribes to about 1,200 periodicals. 

This facility houses not only publications on international trade and U.S. tariff and commercial 

policy, but also many business and technical 

journals. In addition, the Commission's Office of 

the General Counsel maintains a law library, and 

a comprehensive file of documents on legislation affecting U.S. trade. 

EMPLOYMENT AND APPROPRIATIONS· 

The Commission staff represents a unique 

blend of professional investigators, attorneys, 

economists, and commodity analysts, including 

nationally and internationally .recognized experts 

in their fields. In fiscal year 1979, average 

employment-in terms of work-years-was 390, 

about 1 percent below that of fiscal year 1978. 

The following tabulation shows the number. of 

permanent full-time officers and employees of 

the Commission by organizational units at the 

close of fiscal year 1979: 

Position or activity Sept. 30, 1979 

Commissioners. . . .................... . 5 

Offices of the Commissioners 18 

Office of the Secretary . . . . . . . . . . . . . . . . . . . 11 

Office of Executive Liaison and Special 

Advisor for Trade Agreements . . . . . . . . . . . . . . 8 
Position or activity-Con. 

Office of the General Counsel 

Office of Congressional Liaison .. 

Office of the Senior Advisor . 

Office of the Administrative Law Judge . 

Office of the Director of Administration . 

Finance and Budget Division . 

Personnel Division . 

Services Division 

Production Division 

Office of the Director of Operations . 

New York Field Office. 

Investigative Staff. 

Office of Legal Services .. 

Office of Industries . 

Sept. 30, 1979 

22 

2 

2 

6 

4 

8 

13 

10 

17 

3 

5 

23 

17 

116 

Office of Economic Research. . ......... . 27 

Office of Data Systems . 29 

Office of Nomenclature, Valuation, and 

Related Activities .. 

Total .. 

15 

361 

The U.S. International Trade Commission submits its budget to the President for transmittal to 

the Congress. 9 During fiscal year 1979, appropriated funds made available to the Commission 

amounted to $13,250,000. Reimbursements 

received totaled $12,420, making available a 

•Because of the unique role of the Commission as a quasijudicial and independent agency designed to provide trade 

expertise to both legislative and executive branches of 

Government, Congress provided that the budget of the International Trade Commission would not be subject to control 

by the Office of Management and Budget, but would instead 

be submitted directly to the Congress. 

grand total of $13,262,420. Obligations for fiscal 

years 1978 and 1979 were as follows: 

Item Fiscal year Fiscal year 

1978 1979 

Salaries and personnel 

benefits $9,487,919 $9,974,481 

Travel and transportation. 266,647 214,389 

Rental and communications 

services . 1,027,995 1,060,399 

Other services . 611,237 645,776 

Printing and Reproduction . 195,666 170,230 

Equipment, supplies, and 

materials 406,192 500,680 

Total. 11,995,656 12,565,955 

A majority of the Commission's employees 

are housed in the U.S. International Trade Commission Building, at 701 E Street NW. 10 Owing to 

space limitations, employees in the Office of the 

Administrative Law Judge, the Office of Economic Research, and the Office of Data Systems 

are located in the Bicentennial Building, at 600 E 

Street NW. 

10The building was built from 1839 to 1869 under the 

supervision of Thomas U. Walter, one of the architects of the 

Capitol. The Commission took up quarters in the building in 

1921 after such occupants as the Postmaster General, the 

General Land Office, the Bureau of Education, the National 

Selective Draft Board, and General John J. Pershing. 

37 
(..> 

CXl 

I 

Office 

of the 

General 

Counsel 

I 

Finance 

and 

Budget 

UNITED STATES INTERNATIONAL TRADE COMMISSION 

I COMMISSION 

I 

I I I I 

Office of Office of Senior Advisor Office Office 

Executive Liaison the Secretary to the of of 

and Special Advisor Commission Congressional Administrative 

for Trade Agreements Liaison Law Judge 

I 

Office of New York Office of 

Administration Field Office ....._ Operations 

I 

I I I I I I I 

Personnel Services Production Office of Office of Office of Office of Office of 

Industries Economics Data Nomenclature, Investigations 

Systems Valuation, 

and Related 

Activities 
appendix a 

SUMMARY OF PRINCIPAL ACTIVITIES OF THE 

U.S. INTERNATIONAL TRADE COMMISSION, 

FISCAL YEARS 1976-79 

Percentage distribution of employee compensation 

aoi------------1 

60 

Executive direction and administration. 

Basic research; trade agreements activities; 

reports on production and imports of chemi· 

cal products; summaries of trade and tariff 

information; tariff classification and enumera· tion; section 22 of the Agricultural Adjustment Act. 

Furnishing information and technical assist· 

ance to the Congress, other agencies, and 

the public. 

Investigating unfair import practices under 

sections 303 and 337 of the Tariff Act of 1930; 

section 603 of the Trade Act of 1974; and 

miscellaneous studies. 

Investigations under the Antidumping Act, 

1921, as amended. 

Investigations under section 332 of the Tariff 

Act of 1930; special studies. 

Investigations under sections 201 and 406 of 

the Trade Act of 1974. 

Investigation on the probable economic effects 

of grantinl{ concessions during multilateral 

trade negotiations or granting duty-free treat· ment through implementation of the General· 

ized System of Preferences. 

39 
appendixb 

40 

REPORTS SUBMITTED ON PROPOSED LEGISLATION 

1. H.R. 116 (Mr. Bafalis)-To amend section Se of the Agricultural Adjustment Act of 

1933, as reenacted and amended by the Agricultural Marketing Agreement Act of 

1937, to subject imported tomatoes to restrictions comparable to those applicable 

to domestic tomatoes. June 14, 1979. 

2. H.R. 297 (Mr. Drinan)-To suspend for two years the duty on wood excelsior imported from Canada. April 19, 1979. 

3. H.R. 593 (Mr. Mitchell)-To amend the Tariff Schedules of the United States in 

order to increase the rate of duty on certain boxes, cases, and chests lined with textile fabrics. July 19, 1979. 

4. H.R. 802 (Mr. White)-To extend from eight months to twenty-four months the 

period in which domesticated animals may pasture in foreign countries and be accorded duty-free status upon reentry into the United States. 

5. H.R. 1076 (Mr. Pickle, et al.)-To modify the method of establishing quotas on the 

importation of certain meat, to include within such quotas certain meat products, 

and for other purposes. May 4, 1979. 

6. H.R. 1212 (Mr. Fuqua)-For the relief of the University of Florida, Gainesville, 

Florida. May 4, 1979 (Ways and Means Committee), and October 15, 1979 (Finance 

Committee). 

7. H.R. 1319 (Mr. Akaka, et al.)-To extend the period for duty-free entry of a 

3.60-meter telescope and associated articles for the use of the Canada-FranceHawaii Telescope Project at Mauna Kea, Hawaii. June 12, 1979 (Ways and Means 

Committee), and October 15, 1979 (Finance Committee). 

8. H.R. 1436 (Mr. Preyer, et al.)-To suspend until the close of June 30, 1980, the duty 

on certain nitrocellulose. July 10, 1979. 

9. H.R. 1457 (Mr. Rangel)-To amend the Tariff Schedules of the United States to prohibit the importation of coal and of certain articles of uranium, if the product of the 

Union of South Africa. October 18, 1979. 

1 O. H.R. 1587 (Mr. Frenzel)-To suspend the duty on gypsum building boards and lath 

until the close of June 30, 1981. March 23, 1979. 

11. H.R. 1660 (Mr. Duncan)-To continue until the close of June 30, 1981, the existing 

suspension of duties on certain forms of zinc. March 7, 1979. 

12. H.R. 2297 (Mr. Duncan)-To continue until the close of June 30, 1982, the existing 

suspension of duties on synthetic rutile. March 27, 1979 (Ways and Means Commit· 

tee), and October 15, 1979 (Finance Committee). 

13. H.R. 2492 (Mr. Jenkins)-To correct an anomaly in the rate of duty applicable to articles of apparel in which feathers or downs are used as filling and to extend until 

June 30, 1984, the duty provisions applicable to crude feathers and downs. May 4, 

1979 (Ways and Means Committee), and October 31, 1979 (Finance Committee). 

14. H.R. 2535 (Mr. Albosta, et al.)-To amend the Tariff Schedules of the United States 

to suspend for a temporary period the duty on certain alloy tool steels used for mak· 

ing chipper knives. April 19, 1979 (Ways and Means Committee), and November 5, 

1979 (Finance Committee). 

15. H.R. 2537 (Mr. Bauman, et al.)-To suspend until December 31, 1982, a portion of 

the duties on strontium nitrate. July 26, 1979 (Ways and Means Committee), and 

December 3, 1979 (Finance Committee). 

16. H.R. 2580 (Mr. Shelby)-To suspend for a three-year period the duty on 2-Methyl, 

4-chlorophenol. July 13, 1979. 

17. H.R. 2703 (Mr. Shannon)-To provide duty-free treatment to certain dyeing and 

tanning materials. April 12, 1979 (Ways and Means Committee), and November 16, 

1979 (Finance Committee). 
18. H.R. 2727 (Mr. Ullman, et al.)-To modify the method of establishing quotas on the 

importation of certain meat, to include within such quotas certain meat products. 

May 25, 1979. 

19. H.R. 3046 (Mr. Fithian, et al.)-To suspend the duty on freight cars until the close of 

June 30, 1981. July 25, 1979 (Ways and Means Committee), and December 6, 1979 

(Finance Committee). 

20. H.R. 3122 (Mr. Vanik)-Relating to the tariff treatment of certain articles: (1) Dyeing 

and Tanning Materials, (2) Wool Excelsior, (3) Nitrocellulose, (4) 2-Methyl, 

4-chlorophenol, (5) Ceramic Insulators, and (6) Zinc. October 24, 1979 (Finance 

Committee). 

21. H.R. 3127 (Mr. Charles Wilson-Tex.)-To reduce temporarily the rate of duty on 

ceramic insulators used in spark plugs. July 10, 1979·. 

22. H.R. 3207 (Mr. Rostenkowski)-To suspend the duties on certain bicycle parts and 

accessories until the close of June 30, 1983. August 16, 1979 (Ways and Means 

Committee), and October 31, 1979 (Finance Committee). 

23. H.R. 3317 (Mr. Devine)-For the relief of Ohio Wesleyan University, Delaware, 

Ohio. September 27, 1979 (Ways and Means Committee), and October 30, 1979 

(Finance Committee). 

24. H.R. 3352 (Mr. Rostenkowski, et al.)-To provide for the temporary suspension of 

duty on the importation of fluorspar. July 13, 1979 (Ways and Means Committee), 

and December 3, 1979 (Finan.ce Committee). 

25. H.R. 3993 (Mr. Duncan)-To continue until the close of June 30, 1982, the existing 

suspension of duties on manganese ore (including ferruginous ore) and related 

products. August 24, 1979. 

26. H.R. 3403 (Mr. Mikva, et al.)-To implement the Convention on the Means of Prohibiting and Preventing the Illicit Import, Export, and Transfer of Ownership of 

Cultural Property. June 27, 1979. 

27. H.R. 3591 (Mr. Vander Jagt)-To reduce temporarily the duty on titanium sponge. 

July 13, 1979 (Ways and ivieans Committee), and November 6. 1979 (Finance Committee). 

28. H.R. 3728 (Mr. Gibbons)-To repeal the statutory authority to impose quotas on 

certain imported meat and meat products. June 21, 1979. 

29. H.R. 3755 (Mr. McKinney)-For the relief of St. Paul's Episcopal Church, Riverside, 

Conn. July 3, 1979 (Ways and Means Committee), and October 30, 1979 (Finance 

Committee). 

30. H.R. 4147 (Mr. Guarini)-To amend the Tariff Schedules of the United States to provide a temp:"lrary suspension of the duty on certain alloys of cobalt. July 10, 1979 

(Ways and Means Committee), and November 16, 1979 (Finance Committee). 

31. H.R. 4309 (~r. Benjamin, et al.)-To amend the Tariff Schedules of the United 

States to provide for !he proper classification of cold finished steel bars; and for 

other purposes. November 2, 1979 (Finance Committee). 

32. H.R. 4385 (Mr. Neal)-For the relief of Wake Forest University, Winston-Salem, 

N.C. August 9, 1979 (Ways and Means Committee), and October 30, 1979 (Finance 

Committee). 

33. H.R. 4738 (Mr. Crane)-To reduce temporarily the duty on titanium sheet, plate, 

and other rolled titanium products. November 23, 1979 (Finance Committee), and 

November 28, 1979 (Ways and Means Committee). 

34. H.R. 4739 (Mr. Downey)-To suspend for a three-year period the duty on pillow 

buns of latex foam. July 26, 1979 (Ways and Means Committee), and November 5, 

1979 (Finance Committee). 

35. H.R. 4800 (Mr. Drinan)-To extend duty-free treatment to synthetic tantalum/ 

columbium concentrate. September 19, 1979 (Ways and Means Committee), and 

November 14, 1979 (Finance Committee). 

36. H.R. 4954 (Mr. Duncan-Tenn.)-To continue until the close of June 30, 1982, the 

existing suspension of duties on manganese ore (including ferruginous ore) and 

related products. November 21, 1979 (Finance Committee). 

37. H.R. 5065 (Mr. Lederer)-For the relief of the Chinese Cultural and Community 

Center of Philadelphia, Pennsylvania. November 26, 1979. 

41 
38. S. 55 (Mr. Bentsen, et al.)-To modify the method of establishing quotas on the importation of certain meat, to include within such quotas certain meat products, and 

for other purposes. May 4, 1979. 

39. S. 424 (Mr. Matsunaga, et al.)-To extend the period for duty-free entry of a 

3.60-meter telescope and associated articles for the use of the Canada-FranceHawaii Telescope Project at Mauna Kea, Hawaii. March 23, 1979. 

40. S. 1004 (Mr. Bentsen, et al.)-To suspend the duty on freight cars until the close of 

June30, 1981.July25, 1979. 

41. S. 1103 (Mr. Bentsen)-To amend the Tariff Schedules of the United States with 

respect to certain civil aircraft. November 26, 1979. 

42. S. 1111 (Mr. Heinz)-To continue until the close of June 30, 1982, the existing 

suspension of duties on manganese ore (including ferruginous ore) and related 

products. August 24, 1979. 

43. S. 1258 (Mr. Cochran)...:0.To correct an anomaly in the rate of duty applicable to articles of apparel in which feathers or downs are used as filling and to extend until 

June 30, 1984, the duty provisions applicable to crude feathers and downs. 

September 26, 1979. 

44. S. 1536 (Mr. Heinz)-For the relief of the Chinese Cultural and Community Center 

of Philadelphia, Pa. November 26, 1979. 

45. S. 1738 (Mr. Matsunaga)-To amend the Tariff Schedules of the United States to 

repeal the duty on certain field glasses and oinoculars. November 9, 1979. 

42 
appendixc 

KEY STATUTES INVOLVING THE 

U.S. INTERNATIONAL TRADE COMMISSION 

Sec. 201, Trade Act of 1974 (Escape-Clause Investigations), 

Import Relief for Domestic Industries 

When: The Commission conducts investigations upon its own motion or upon petition on behalf of a firm, a group of workers, or other 

entity representative of an industry to determine whether an article is 

being imported in such increased quantities as to be a substantial 

cause of serious injury, or the. threatthereof, to .the domestic industry 

producing an article like or directly competitive with the imported article. 

Duration: The investigation must be completed not later than 6 

months after being instituted. 

Finding: If the Commission's finding is affirmative it must recommend a remedy to the President, who has discretion to take action to 

provide import relief, such as an increase in duties, the establishment 

of quantitative restrictions, the negotiation of orderly marketing 

agreements, or specified types of adjustment assistance to groups of 

workers, firms, or communities. 

Followup: The Commission reports with respect to developments 

within an industry that has been granted import relief and advises the 

President of the probable economic effect of the reduction or the 

elimination of the tariff increase that has been granted. 

Sec. 337, Tariff Act of 1930 

(Investigations of Unfair Practices in Import Trade) 

When: The Commission, after receipt of a complaint under oath 

from an interested party or upon its own motion, conducts investigations to determine whether unfair methods of competition or unfair 

acts are occurring in the importation of articles into the United States 

or in their sale. 

Duration: The investigation must be completed in no more than 1 

year, or 18 months in a more complicated case, after the date of 

publication of notice of investigation in the Federal Register. 

Finding: If the Commission determines that the importation of 

such articles is such that the effect or tendency is to destroy or 

substantially injure an efficiently and economically operated industry, 

or to prevent the establishment of such an industry, or to restrain or 

43 
monopolize trade and commerce, it may issue orders excluding the articles from entry or issue cease and desist orders. The President may 

disapprove these actions within 60 days after issuance of the Commission's determination. 

Sec. 201 (a), Antidumping Act, 1921 (Antidumping Investigations), 

Imports Marketed at Less Than Fair Value1 

· When: The- Commission; after a finding by the Secretary of th_e 

Treasury that sales of imported articles are at less than fair value, conducts investigations to determine whether an industry in the United 

States is being or is likely to be injured, or is prevented from being 

established, as a result of such sales. 

Duration: The investigation must be completed within 3 months 

of the receipt of advice from the Department of the Treasury. 

Finding: If the Commission's determination is affirmative, the 

Secretary of the Treasury imposes a dumping duty on imports of the 

articles in question. 

Sec. 332, Tariff Act of 1930 (General-Purpose Investigations) 

When: Upon official request or upon its own motion, the Commission initiates a factfinding investigation on any matter involving tariffs 

and international trade. This broad provision allows the Commission to 

investigate trade matters of immediate concern to the Government 

and the public. 

Duration: Unless otherwise directed, the Commission 

establishes an administrative deadline. 

Finding: Unless the President or the Congress directs otherwise, 

the Commission's reports are made available to all interested parties, 

the general public, the President and executive departments, and the 

Congress. 

Sec. 22, Agricultural Adjustment Act, Import 

Interference With Agricultural Programs 

The Commission conducts investigations at the direction of the 

President to determine whether any articles are being or are practically certain to be imported into the United States under such conditions 

and in such quantities as to materially interfere with programs of the 

Department of Agriculture for agricultural commodities or products 

'Effective Jan. 1, 1980, the Antidumpir.g Act, 1921, was replaced and repealed by title 

VII of the Tariff Act of 1930. Also contained in title VII and effective Jan. 1, 1980, was a 

new countervailing duty law which added the requirement of a Commission determina· 

tion regarding injury to a domestic industry before imposition of countervailing duties. 

44 
thereof, or to reduce substantially the amount of any product processed in the United States from such commodities or products, and 

makes findings and recommendations to the President. The President 

may restrict the imports in question by imposition of either import fees 

or quotas. 

OTHER AREAS OF INVOLVEMENT BY STATUTE 

Bestowal of Bounties or Grants on Imports 

The Commission determines, with respect to any duty-free article 

on which the Secretary of the Treasury has determined that a bounty 

or grant is being paid, whether an industry in the United States is being 

or is likely to be injured, or is prevented from being established, by 

reason of the importation of such article. (Sec. 303, Tariff Act of 1930; 

46 Stat. 687 .) 

Uniform Statistical Data 

The Commission, in cooperation with the Secretary of the Treasury 

and the Secretary of Commerce, establishes for statistical purposes 

an enumeration of articles imported into the United States and exported from the United States, and seeks to establish comparability of 

such statistics with statistical programs for domestic production. 

In conjunction with such activities, the Commission and the 

Secretary of Commerce are to identify concepts underlying the formulation of an international commodity code for reporting transactions in international trade and to report thereon to the Congress. (Sec. 

484(e), Tariff Act of 1930, 19 U.S.C. 1484(e); sec. 608, Trade Act of 

1974.) 

Tariff Schedules of the United States Annotated 

The Commission issues a publication containing .,,LJ .S: ·tariff 

schedules and related material and considers questions concerning 

the arrangement of such schedules and the classification of articles. 

(Sec. 201, Tariff Classification Act of 1962, 76 Stat. 74; secs. 332(a) 

and 484(e), Tariff Act of 1930, 19 U.S.C. 1332(a) and 19 U.S.C. 

1484(e).) 

Tariff Summaries 

The Commission prepares and publishes, from time to time, a series 

of summaries of trade and tariff information. These summaries contain descriptions (in terms of the Tariff Schedules of the United States) 

of the thousands of products imported into the United States, methods 

45 
of production, and the extent and relative importance of U.S. consumption, production, and trade, together with certain basic factors 

affecting the competitive position and economic health of domestic industries. (Sec. 332, Tariff Act of 1930; 19 U.S.C. 1332.) 

Advice Concerning Trade Negotiations 

The Commission advises the President as to the probable economic 

effect on domestic industries and consumers of modification of duties 

and other barriers to trade which may be considered for inclusion in 

any proposed trade agreement with foreign countries. (Sec. 131, 

Trade Act of 1974; 19 U.S.C. 2151.) 

Generalized System of Preferences 

With respect to articles which may be considered for duty-free 

treatment when imported from designated developing countries, the 

Commission advises the President as to the probable economic effect 

of the removal of duty on the domestic industry and on consumers. 

(Secs. 131 and 503, Trade Act of 1974; 19 U.S.C. 2151, 2163.) 

East-West Trade Monitoring System 

The Commission monitors imports into the United States from nonmarket economy countries and makes a report not less frequently 

than once each calendar quarter on the effect of such imports on the 

production of like or directly competitive articles in the United States 

and on employment within the industry. (Sec. 410, Trade Act of 1974; 

19 U.S.C. 2440.) 

Trade With Communist Countries 

The Commission makes investigations to determine whether increased imports of an article produced in a Communist country are 

causing market disruption in the United States. If the Commission's 

determination is in the affirmative, the President may take the same 

action as in a case involving injury to an industry, except that the action would apply only to imports of the article from the Communist 

country. (Sec. 406, Trade Act of 197 4; 19 U .S.C. 2436.) 

-((U.S. GOVERNMENT PRINTING OFFICE: 1980 0-323-630 

46